February 28, 2024

Pascal Benyamini Speaks With Bloomberg Law on California’s PAGA Labor Law

Labor and Employment partner Pascal Benyamini spoke with Bloomberg Law in “California Employers Get Lifeline in Unique State Labor Disputes,” on California’s unique PAGA labor law. 

Currently, employers can only force individual PAGA claimants into arbitration, even if the employee is bringing a case on behalf of other affected workers. A PAGA case in court can potentially involve thousands of employees covered by allegations of the same harm. Benyamini said the recent Supreme Court ruling was “welcome news, because [he] thinks it gives employers an opportunity to potentially undo some of the damages.”

However, “The question of whether to arbitrate an individual PAGA case is still a “risk assessment,” Benyamini stated.

An arbitration agreement is still an advantage for employers because it can help them avoid litigation costs and ward off class action liability, Benyamini said.

Even if a finding of aggrieved employee status in arbitration is eventually found to be applicable elsewhere, “you’re kind of stuck with a PAGA claim in court,” Benyamini said. “But that doesn’t mean you’ve lost.”

The full article is available to Bloomberg Law subscribers.

Full Article

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