It is not easy to be an employer in the State of California because you are always at risk of being sued by your employees for violating any of the many wage and hour laws currently in existence. Employees have two options when it comes time to bring an action against you as their employer. They can hire a lawyer to bring a claim in the Superior Court or they can choose to go directly to the Labor Commissioner’s Office to file a claim themselves.
Filing the claim with the Labor Commissioner’s Office is the fastest choice. While the Labor Commissioner’s Office does tend to rule in favor of the employees, a properly represented employer who is prepared for the meetings may face less adversity.
If you have received a Notice of Claims and Conference with a date to appear in the Labor Commissioner’s Office, allow me to help you prepare for your meeting. The primary objective, at this point, is to prepare for the first conference and to be ready to negotiate a settlement.
Known as a DLSE Form 1, the “Initial Report or Claim” filed by your employee outlines any violations believed to have been committed by yourself, as the employer. DLSE Form 55 includes rest and meal period violations, DLSE form 155 includes claims involving commissions pay, and DLSE “Vacation Pay Schedule” is for any claims involving vacation pay. These forms are filed by your employee with the Labor Commissioner’s Office with the time and amounts involved in the claim as well as any relevant time records, paychecks/stubs and bounced paychecks are also submitted.
As an employer, you are expected to maintain accurate time and payroll records and these must be provided upon request from an employee. Make sure these records are kept for 4 years because without records the employee will win the claim automatically.
The process continues when a member of the Labor Commissioner’s Office, a Deputy Labor Commissioner, receives this Initial Report and is put in charge of the wage claims proceedings. It is decided by the Deputy whether this claim can be settled through a conference or if further relevant information must be gathered before the hearing. You and your employee will receive a Notice of Claim Filed and Conference, should a claims conference be held. This Notice will inform you of the nature of the claim as well as the date, time and location of the conference.
If you are invited to a conference, we will help you create a plan of action and gather all necessary documents, wage statements, contracts, etc. prior to the date of the scheduled conference (Must bring two copies of each to the conference). Before the conference, we will ensure that we are aware of the circumstances involved in the claim as well as the laws that your employee claims were violated.
During the conference, each party will be given the opportunity to explain their side of the story as well as be able to present any relevant documents. The Labor Commissioner will then mediate the settlement, we will be given the opportunity to make an offer which the Labor Commissioner will report to the employee and will return with a response.
While a settlement may be reached during this conference, it is still recommended that you seek legal counsel before signing a settlement with your employee. The Labor Commissioner also has the right to decide that the claim has no substance and dismiss both parties. It is important to have legal counsel at the conference, because it will be your attorney’s job to convince the Commissioner that there is no merit in the claim. If the conference is not settled and the Deputy Labor Commissioner believes the claim to have merit, it will be recommended that the matter be resolved in a Labor Commissioner Hearing (also known as a Berman Hearing).
Not sure what your responsibilities are as an employer? Allow Rupal Law to help you stay ahead of any recent claims made against you for violations of the various wage and hour laws we have in the state of California. A consult package with Rupal Law gives you the peace of mind of knowing your legal support and guidance is just a phone call away. Contact us today to learn more and take the first step towards compliance knowledge and avoidance of unexpected legal claims. www.rupallaw.com
