Assembly Appropriations held a bill in committee that would have created a registry system for temporary staffing agencies, including a requirement to prove they had valid workers’ comp coverage. Another bill to create a state registry for Professional Employer Organizations (PEOs) was watered down to instead only establish a weak statutory definition of PEOs and …
The author of a bill to create a registration system for temporary staffing agencies took amendments from the Senate Judiciary Committee that eliminate an attorney-fee provision, but opponents say the amendments don’t go far enough to earn their support. Staffing industry lobbyists say they could support a registration bill if the private right of action …
A legislative proposal to create a licensing system for temporary staffing agencies is moving forward, despite opposition, in line with the author’s promise to work with parties to draft a workable definition of the staffing operations covered by the bill. SB 1032 by Sen. Eloise Gomez Reyes (D-San Bernardino) cleared the Senate Labor, Public Employment …
The Division of Workers’ Compensation revealed that its audit and enforcement unit conducted three civil penalty audits in 2023 based on credible complaints filed against the audited claims adjusters. The Division’s 2023 audit report showed the number of violations found at each of these locations, but it did not include details about the nature of …
Proposed legislation would target rampant workers’ comp fraud in the state’s temporary staffing industry by creating a registration system that requires proof of coverage to register or renew. The proposal by Sen. Eloise Gomez Reyes (D-San Bernardino) also would bar employers from using unregistered staffing agencies and create new legal exposure for violators. Reyes introduced …
The Ventura District Attorney did not criminally prosecute a Ventura County temporary staffing company that prosecutors say operated for years without workers’ comp coverage, used forged certificates of insurance, backdated …
Federal officials filed an eight-count federal indictment naming seven staffing industry executives as defendants. The case alleges a scheme to pocket payroll taxes from client employers and workers, and to cheat workers’ comp carriers out of premium. Proceeds from the $90 million scheme allegedly went toward buying real estate, luxury cars, expensive vacations, and other …
The former head of BaronHR appeared virtually in Orange County Superior Court last week and pleaded guilty to state charges of workers’ compensation fraud and employment tax fraud. Under an agreement, certain felony counts against Luis Perez were reduced to misdemeanors. He also agreed to pay full restitution and was sentenced to a year in …