Agreement Reached to Reform Private Attorneys General Act (PAGA)

After many months of discussions, an apparent agreement has been reach on reforming the Private Attorney General Act (PAGA).  The agreement comes after months of discussions between the Newsom Administration, legislative leaders, labor advocates and a coalition of businesses.  The agreement will be introduced in legislation.  If passed by the Legislature, it would reform PAGA to ensure workers retain a strong tool to bring forth labor claims and receive fair compensation, while limiting the shakedown lawsuits that hurt employers and employees. The deadline for initiatives to be withdrawn from the November 2024 ballot is June 27, 2024.

The following are the core elements of the reform package:

• Employee Share of Penalty
  • Increases share employees receive from any penalty from 25% to 35%.
• Standing
  • Requires the employee (plaintiff) to personally experience the alleged violations brought in a claim.
  • Alleged violations must have occurred within the last year (presently, there is no time limitation).
• Penalty
  • Caps Penalties: For employers who proactively take steps to comply with the Labor Code before receiving a notice, the maximum penalty that can be awarded is 15 percent of the applicable penalty amount.
  • Caps Penalties: For employers who take steps to fix policies and practices after receiving a PAGA notice, the maximum penalty that can be awarded is 30 percent of the applicable penalty amount.
  • Reduces the maximum penalty where the alleged violation was brief or where it is a wage statement violation that did not cause confusion or economic harm to the employee (i.e. misspelling of company name or forgetting to add “Inc.” on the pay statement).
  • Levels the playing field for employers who pay weekly by ensuring a penalty is adjusted. Presently, such employers are penalized at twice the amount because the penalty accrues on a per pay period basis.
  • Addresses derivative claims.
  • Creates a new penalty ($200 per pay period) if an employer acted maliciously, fraudulently, or oppressively.
• Employer Right to Cure
  • Expands which Labor Code sections can be cured, so employees are made whole quickly.
  • Protects small employers by providing a more robust right to cure process through the state labor department (Labor and Workforce Development Agency) to reduce litigation and costs.
  • Provides an opportunity for early resolution in court for larger employers.
• Strengthening Enforcement Agency
  • The Administration will pursue a trailer bill to give the California Department of Industrial Relations (DIR) the ability to expedite hiring and filling vacancies to improve and expedite enforcement of employee labor claims.
• Judicial Discretion (Manageability)
  • Codifies that a court may limit both the scope of claims and evidence presented at trial.
• Injunctive Relief

Allows for injunctive relief.

WAPA Wraps Up Biggest Annual Meeting Ever

As the number of regular members and associate members continue to grow, so does the WAPA Annual Meeting.  The 2024 Annual Meeting of the Western Agricultural Processors Association (WAPA) was the biggest one ever.  There were more attendees, more exhibitors, more golfers, and more sponsors than any year in the short 15-year history of WAPA.  While it was a lot of fun, it was short, sweet and to the point.  It started Wednesday evening with our Associate Member Appreciation night reception, where Association President/CEO Roger A. Isom recognized the support and contribution of our Associate members and the role they play in the success of the Association and the entire tree nut industry.  The next morning the WAPA Annual Meeting Golf Tournament kicked off, and the WAPA Exhibits opened at 4:00 pm.  The evening reception began amongst the exhibitors at 5:00 pm and then rolled into Dinner.  Following Dinner, the Killer Dueling Pianos treated the audience to a raucous night of music and fun.    The next day was the WAPA Business Meeting that got underway with a report from Todd Landry with the Association’s Accounting Firm of Spafford and Landry who discussed the Association’s financial condition and results of the 2023 Audit.  Following that report, Dr. James Gorny, US FDA, provided an update on food safety issues and directives from FDA.  Then Senator Marie Alvarado-Gil and Assemblyman Juan Alanis provided their perspectives on critical issues in Sacramento.  The second portion of the business session got underway with a very enlightening economic outlook for tree nuts as we look into the crystal ball for the next five years by Dr. Roland Fumasi of Rabobank.  The day finished with a staff update from Assistant Vice President Priscilla Rodriguez, Director of Technical Services Christopher McGlothlin and President/CEO Roger A. Isom.  Overall, it was the biggest and best meeting WAPA has ever held!  We would like to extend a special thank you to all of our sponsors for this year’s annual meeting.  Their contributions were generous and made this meeting what it was!

A Huge Shoutout to Our Sponsors

The Western Agricultural Processors Association (WAPA) held its 2024 Annual Meeting last week in Monterey and it was our biggest ever.  We had more sponsors, more exhibitors and more attendees than we ever have in the 15-year history of the organization.  The Association would like to thank and recognize each and every participant, exhibitor and sponsor for making this our best ever.  WAPA President/CEO Roger A. Isom stated “We are humbled by the support and interest in our organization. Our staff works hard to protect and fight for the entire tree nut industry, and we are truly grateful for the members’ and associate members’ unwavering support.  We could not do what we do without their support.  Thank you!”  WAPA will return to Monterey on June 11-13 in 2025!  Be sure to make plans to be there.

Yolo County Superior Court Rules in Favor of Sites Project Authority

This past month, the Superior Court of Yolo County released an order denying all claims in the Friends of the River v. Sites Project Authority case.  In late 2023, six environmental organizations, Friends of the River, Center for Biological Diversity, California Sportfishing Protection Alliance, California Water Impact Network, Save California Salmon, and Sierra Club, petitioned the Court to review certain aspects of the Authority’s California Environmental Quality Act (CEQA) process and the Authority’s certification of the Final Environmental Impact Report (Final EIR) for the Sites Reservoir Project.  The Yolo County Superior Court found in the Authority’s favor in every claim asserted by the environmental organizations. The Sites Final EIR fully complies with CEQA.  “We are grateful the court’s decision will allow us to advance Sites Reservoir and ultimately supply more water for people, farms, and the environment. The need for this water is significant, and we have no time to waste,” said Fritz Durst, Chair of the Sites Project Authority.  Sites Reservoir is purposely designed to work in concert with California’s changing climate conditions by capturing and storing water during extreme storm events for use during severe dry periods when it is needed the most. Sites will be a unique reservoir in California, one that captures and stores water for multiple benefits including as a dedicated asset specifically for the environment to support fish and their habitat during drought periods.  Sites is an off-stream facility that does not dam a major river system and does not threaten fish migration or spawning. Sites Reservoir diversions would be conducted under highly protective operating and permit conditions that establish when water can be diverted after all other water rights and regulatory requirements are met.  It is hoped that construction will begin in 2026.