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Assembly advances bill to strengthen enforcement of unpaid wage judgments
Summary
SB 261 would require public lists of employers with unpaid wage theft judgments and authorize enhanced penalties after six months of nonpayment; the committee passed the bill and referred it to Judiciary.
The Assembly Labor and Employment Committee voted to pass SB 261 by Sen. Wahab and re-referred the bill to the Judiciary Committee. SB 261 would require the Labor Commissioner's Office to publish a list of employers with outstanding wage-theft judgments and authorize additional penalties — up to three times the judgment amount — after six months of nonpayment.
Betty Young, former head of the Santa Clara Office of Labor Standards Enforcement, testified in support and described the county's approach to enforcing unpaid wage judgments through permitting and contract leverage. "In partnership with state, local, and federal enforcement agencies, OLC has returned more than $500,000 in unpaid wages back to workers," Young said, while noting millions remain unpaid statewide.
Supporters argued the current process for filing and resolving wage claims can take years and that many judgments go unpaid, leaving workers without wages they are owed. Sarah Flock of the California Federation of Labor Unions told committee members that the current timeline to resolution can average two-and-a-half years, leaving workers vulnerable in the interim.
Witnesses from labor and legal advocacy groups supported the measure; no opposition testimony was recorded. Committee members praised the bill as a complement to outreach programs that inform workers of their rights and moved the bill to Judiciary for additional legal review.
