California employment case index

Lauren Brown filed the fifth of five overlapping PAGA actions against the same restaurant operator. While her case sat stayed, the employer settled globally with an earlier plaintiff, and the trial court then granted judgment on the pleadings. Division Eight affirmed. The only contested question it reached was whether the settling plaintiff's failure to wait the full 65 days after her amended agency notice destroyed the settlement's preclusive effect – and the court held it did not, because nothing extends the waiting period to amended notices and the agency itself had accepted the settlement. Brown also lacked standing for violations postdating her 2018 separation.

The Court of Appeal affirms a statewide preliminary injunction against Uber and Lyft, holding the People likely to prevail under prong B of the ABC test (Lab. Code, § 2775) — rideshare driving is within the usual course of the companies’ business — and rejecting the “technology platform” defense as a false dichotomy. (Predates Proposition 22; see Castellanos.)

The unpaid-wages component of section 558 is not a civil penalty recoverable through PAGA; only the fixed civil penalties ($50/$100 per employee per pay period) are PAGA penalties. Because the unpaid wages are not part of the PAGA claim, the trial court could not compel that portion to arbitration as if it were.

A worker fired nine months into his vacation year was denied every day of accrued vacation pay because his employer's policy made eligibility turn on still being employed on his anniversary date – a rule it had applied to roughly 300 departing employees. A unanimous Supreme Court held the policy could not defeat the right. Vacation pay is not a gratuity but deferred wages earned by the year's labor, so a proportionate right to it vests as the work is performed, exactly as pension rights vest on acceptance of employment. An anniversary requirement is at most a condition subsequent, and Labor Code section 227.3 forbids an employer policy from turning that condition into a forfeiture of what has already been earned.