Small Employers (< 100 Employees)

After you receive a PAGA notice, employers with fewer than 100 employees have 33 days to submit a confidential proposal to the LWDA describing how they plan to solve the violation alleged by the PAGA notice.

Then, the LWDA has 14 days from receiving this proposal to set a conference with both parties to decide if the proposal, or the cure, is sufficient. The conference must be conducted within the next 30 days (and may be held virtually). The LWDA may also identify any additional information necessary to evaluate the sufficiency of the cure, and set a deadline for the employer to complete the cure.

If the LWDA determines that the cure is not sufficient, the PAGA plaintiff can sue in court after 65 calendar days following the PAGA notice.

If the LWDA determines that the alleged violations were cured, it will notify the employer and PAGA plaintiff.  If the employee challenges the determination, the LWDA will set a hearing within 30 days and issue a final determination. If the LWDA finds the violations were properly cured, the employee may not sue in court.

Large Employers (> 100 Employees)

Employers with 100 or more employees who are sued under PAGA may file a request for an “early evaluation conference” and request a stay of court proceedings. The purpose of the early evaluation conference is to determine “whether violations occurred and if they’ve been cured, the strengths and weaknesses of the claims/defenses, whether the claims or any part of them can be settled, and whether there is information that the parties could exchange to assist in the process.”

If the neutral evaluator accepts the employer’s cure plan, the employer must provide evidence within 10 calendar days demonstrating that the cure has been accomplished. If the employer fails to do so, the “early evaluation conference” and the stay on proceedings may be terminated by the court.

If it is found that the employer cured the alleged violations, the parties must submit a joint statement to the court to this effect. If the neutral evaluator or plaintiff do not agree that the employer cured the alleged violations, then the employer may file a motion to request the court to approve the cure and submit evidence showing correction of the alleged violations.

You can learn more about the PAGA process here.