California has enacted new requirements to increase regulatory oversight after an increase in the state's Private Attorneys General Act (PAGA) lawsuits. PAGA allows employees to sue over alleged labor violations on behalf of themselves and other workers. The new requirements have raised a number of questions regarding how settlements would be handled.
Under the new requirements, PAGA settlements would be sent to regulators allowing them to evaluate the agreements. This means that regulators may challenge the amount of a settlement, although this is still an open question according to Employment attorney Linda Allderdice.
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