California employers should pay close attention to all of the local ordinances cropping up around the state. Failure to comply, even if inadvertent and quickly corrected, can result in exorbitant penalties that far exceed what the employee is owed.
Recently, one Los Angeles fast food employer was hit with $1.45 million in penalties for failing to pay the correct minimum wage. The company underpaid some employees by between 25 cents to 50 cents an hour, with a total owed of about $5,400. The penalties of $1.45 million levied against the employer are approximately 269 times the amount owed to the employees.
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