What types of financial penalties can employers face for violating wage and hour laws?

Employers in California who violate wage and hour laws can face a variety of financial penalties. In some cases, the court may require the employer to pay back wages owed to the employee, including unpaid wages, overtime, or other compensation. This could involve paying a lump sum to the employee, or setting up a payment plan to reimburse the employee over time. The employer may also be required to pay the employee’s legal fees if they took legal action against the employer. In addition, employers may be ordered to pay a penalty for each violation, which can range from $50 for each unpaid wage, to up to $4,000 for each violation of a labor law. The court may also impose fines and/or other criminal penalties. Employers who violate wage and hour laws may also be subject to audits or examinations by the California Department of Industrial Relations. During the audit, the department may review the employer’s records to ensure compliance with state labor laws. If violations are found, the department may impose additional fines. Additionally, employers may face additional penalties from the federal government if their violations affect federal labor law.

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