Targeted Inspections Find 25% Uninsured

The state’s Labor Enforcement Task Force (LETF) uses high-tech reconnaissance and research to identify employers in several industries that are most likely operating in violation of California labor laws. It looks for payment of wages, workplace safety, and providing workers’ compensation coverage. In the latest fiscal year, the task force identified and inspected 578 businesses … Read More »

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District Attorneys Records Are Questionable In Fraud Cases

Last year, district attorneys around the state prosecuted 1,326 cases of workers’ comp fraud and secured 340 convictions.  Many cases are ongoing. The data from the District Attorneys’ latest annual report to the California Department of Insurance show that prosecutors also made another 435 arrests – 203 felony arrests and 232 for misdemeanors – and … Read More »

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AB 5 Exemptions, COVID-19 Reporting Bills Approved

The bill signing season is well underway. Governor Gavin Newsom put pen to paper on many bills, including measures increasing the number of exemptions to the Dynamex ABC test and a bill requiring employers to report workplace cases of COVID-19 to local and state public health officials. In addition to these measures, brokers should take … Read More »

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Lawsuit Over MEWA’s Fake Coverage

A Fresno area restaurant is suing the illegal American Labor Alliance and its founder Marcus Asay for selling bogus workers’ comp coverage. The trial is scheduled for the fall and … Read More »

DIR Workers’ Comp or AB 5 Enforcement

The Department of Industrial Relations’ Division of Labor Standards Enforcement (DSLE) says it is not pursuing employers with workers’ comp coverage that is nonexistent or inadequate to meet their obligation under Labor Code section 3700. The state is not enforcing the requirement for employers to have workers’ comp insurance. Instead, DSLE is focusing its enforcement … Read More »

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More Money For DIR In Proposed Budget

Gov. Gavin Newsom’s proposed $18 billion budget for the 2020/2021 fiscal year includes millions more for the state’s Department of Industrial Relations. The administration is expecting many more investigations of worker misclassification allegations and, ultimately, thousands of additional workers’ comp claims in the wake of the AB 5 legislation. While DIR’s budget is getting a … Read More »

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Wage Theft Cited, But Payroll Not Reported

The California Labor Commissioner says a Southern California construction company owes nearly 1,100 workers roughly $12 million in unpaid wages, interest, and penalties. The allegations include almost $3.5 million in straight pay and pay for missed rest breaks owed to workers. The details of this case provide only a glimpse into the real size of … Read More »

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