What “Reasonable Steps” Really Mean in 2026: How California Employers Reduce PAGA and Employment Litigation Exposure
As California employers move through 2026, one thing is clear: employment litigation—and PAGA litigation in particular—is not slowing down.
Despite the highly publicized 2024 PAGA reforms, 2025 became the largest year yet for PAGA LWDA filings. That reality has
At Zaller Law Group, we do not talk about AI and technology in the abstract. We use it—every day—as a litigation tool to give our clients a measurable advantage.
California wage-and-hour and PAGA cases are data cases. Outcomes often turn on what the time records actually show, how quickly they can be analyzed, and whether
The California Labor Commissioner published the official “California Workplace – Know Your Rights” notice (available here in English and Spanish) required under the Workplace Know Your Rights Act (SB 294).
The first mandatory distribution date is February 1, 2026.
Here are five things every California employer should understand now.
1. Distribution Rules Are Specific
As California employers enter 2026, one thing is clear: PAGA risk is not going away—and it is not plateauing.
The numbers tell the story. Despite the highly publicized 2024 PAGA reforms, 2025 became the largest year yet for PAGA filings. That reality should reset expectations for California employers. Reform did not reduce filings—it changed how
After more than twenty years defending California employers, I have seen a consistent pattern: even companies with sophisticated systems struggle with one of the most fundamental compliance obligations in California employment law—maintaining, accessing, and analyzing employee time records. These challenges are not merely operational inconveniences. They routinely lead to unnecessary legal exposure, inflated PAGA penalties
As we approach 2026, California employers face a new round of legal and financial adjustments that will directly impact payroll budgeting, exempt classifications, and compliance risk. From statewide wage increases to industry-specific salary thresholds, these updates require careful planning to avoid misclassification claims, PAGA exposure, and penalties.
Here are the top five increases California employers
As we move toward 2026, California employers—especially in hospitality—are navigating one of the most complex wage-and-hour landscapes in the country. The 2024 PAGA reform brought meaningful relief, but only for employers who take their compliance obligations seriously and can prove it.
At the same time, technology and AI are beginning to transform what compliance
As the holiday season approaches, it’s a perfect time for California employers to revisit their policies on holiday leave, scheduling, and pay practices. Last week, we covered key vacation considerations for the busy season. This week, we’re focusing on five important reminders to help ensure compliance and smooth operations as the year winds down.
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2025 has delivered a series of powerful—and practical—employment law decisions. These five cases carry direct lessons for every California employer, especially in areas where minor missteps can lead to major liability.
1. Iloff v. Bridgeville Properties, Inc. – California Supreme Court (2025) – “Good Faith” Requires Real Effort
This case involved a handyman who performed
California’s employment laws never stay still—and 2025 and 2026 are shaping up to bring even more compliance challenges for employers. One of the biggest new laws on the horizon is Senate Bill 294, better known as the Workplace Know Your Rights Act.
This new law adds major notice, training, and recordkeeping requirements for all