Subcontractor Hit with $500,000 Lawsuit for California Labor Law Violations
MDP California stands accused of violating no fewer than seven California employee labor law statutes. "MDP California cheated its workers and the State out of hundreds of thousands of dollars by dodging fair wage and labor laws," Brown said in a press release from States News Service. "Those kinds of business practices will not be tolerated in California."
An investigation launched last year by the Office of the Attorney General found literally hundreds of violations. Brown's office interviewed a number of workers, who reported that MDP California regularly required them to work anywhere from nine to 11 hours a day Monday through Saturday??"and sometimes on Sunday. There was no overtime pay provided for the additional hours.
One worker who was injured on the job had no choice but to take unpaid leave due to the alleged failure of MDP California to provide workers' compensation.
The lawsuit contends MDP California violated the following California state labor laws:
- California Labor Code section 510 by denying overtime pay.
- California Labor Code section 226 by providing wages to employees in other employees' names.
- California Wage Order 16-2001(4)(A) denying pay for all hours worked.
- California Labor Code section 226.7 by denying employees with a 10-minute break each four hours.
- California Labor Code section 3700 by failing to pay worker's compensation insurance.
- California Labor Code section 201 by failing to pay wages owed to laid-off employees immediately.
- California Business and Professions Code section 17200 for engaging in unfair business practices.
The Office of the Attorney General alleged that MDP California's failure to pay fair wages or state taxes gave the employer an unfair advantage over its competitors, which allowed it to underbid for jobs.
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