California is known for being employee-friendly. This means employers are more likely to get sued here. In this blog post, we’ll discuss common reasons employers get sued in California and give tips on how to avoid legal issues.

1. Not Following Wage and Hour Rules

Many lawsuits come from not following wage and hour rules. Employers may not pay enough, give overtime, or provide breaks as required. To avoid lawsuits, employers should learn about California’s wage and hour laws and make sure they follow them.

2. Discrimination and Harassment

Discrimination and harassment are illegal in California. Employers can be sued if they treat employees unfairly based on things like race, gender, age, disability, or religion. To prevent this, employers should create a workplace that is diverse, welcoming, and harassment-free. They should have strong policies, provide training, and handle complaints quickly and fairly.

3. Firing People Unfairly

In California, employers can fire employees for any reason, as long as it’s not illegal. But they can still be sued for firing someone for a bad reason, like discrimination. To lower the risk, employers should document performance problems, be clear about why they’re firing someone, and talk to a lawyer if needed.

4. Punishing Employees for Complaining

Retaliation is when an employer punishes an employee for reporting harassment, helping with an investigation, or complaining to a government agency. Employers should be careful not to retaliate and make sure their decisions are based on good reasons. They should also keep communication open with employees to address concerns.

5. Calling Employees Independent Contractors

California’s AB5 law makes it harder to call workers independent contractors. If employers get this wrong, they can face big penalties and have to pay employees more. Employers should check that their workers are classified correctly under the “ABC test” in the law.


California employers can avoid lawsuits by keeping up with employment laws, having strong policies, and treating employees fairly.

Sanjay Sabarwal focuses his practice in the areas of Employment Law, Family Law and Personal Injury Law and provides outstanding service and expertise for your legal right to win cases with personalized attention and insightful counsel. Mr. Sabarwal has been the Co-Owner and House Counsel for Ziba Beauty, member of the American Bar Association, Los Angeles Bar Association, South Asian Bar Association and Orange County Bar Association. He also serves on the Advisory Board for Youth Business Alliance, which connects entrepreneurs to speak at underserved schools in Los Angeles County. He is also a board member for the Artesia Chamber of Commerce. Contact Sanjay at or (562) 250-4471.

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