Avoid Costly HR Compliance Mistakes in California
Fines, lawsuits, and audits can cripple your small business. Learn the risks and how we can help
California’s labor laws are strict. Non-compliance can lead to $1,000-$500,000 in penalties. Our services protect your business
| Compliance Area | Primary Risks of Non-Compliance | Potential Cost of Non-Compliance |
|---|---|---|
| Employee Handbook | Lawsuits (e.g., discrimination), fines from DFEH, inconsistent policy application | $10,000-$100,000+ in lawsuits; $1,000-$5,000 DFEH fines. |
| Harassment Prevention Training | Fines from DFEH, increased harassment lawsuit risk, poor workplace morale | $1,000-$10,000 DFEH fines; $50,000+ in lawsuits. |
| Employee Classification | Back wages, overtime penalties, class-action lawsuits | $10,000-$500,000+ in back wages; $1,000-$10,000 per violation. |
| Timekeeping & Breaks | Penalties for missed breaks, unpaid wage lawsuits, DLSE audits | $100-$1,000 per missed break; $50,000+ in lawsuits. |
| Performance Reviews | Weak defenses in termination claims, perceived bias, higher turnover | $10,000-$100,000 in wrongful termination claims. |
| Complaint Handling | DFEH/EEOC claims, retaliation lawsuits, damaged employee trust | $25,000-$200,000 in lawsuits; $1,000-$5,000 fines. |
| Paid Sick Leave | Fines, employee lawsuits, reduced morale | $500-$5,000 fines; $10,000+ in lawsuits. |
| Workers’ Compensation | Fines up to $10,000/employee, personal liability, lawsuits for injury costs | $10,000/employee fines; $50,000+ in injury lawsuits. |
| Onboarding & I-9 Verification | I-9 fines (up to $2,292/form), EDD penalties, ICE audits | $1,000-$2,292 per I-9 violation; $500-$2,000 EDD fines. |
| Payroll Practices | Wage statement penalties (up to $4,000/employee), lawsuits, audits | $1,000-$4,000 per employee in penalties; $50,000+ in lawsuits. |
| Diversity, Equity, & Inclusion (DEI) | Discrimination lawsuits, poor morale, reputational damage | $25,000-$200,000 in lawsuits; reputational harm. |
| Family & Medical Leave | Lawsuits for denied leave, DFEH/DOL fines, employee dissatisfaction | $10,000-$100,000 in lawsuits; $1,000-$5,000 fines. |
| Workplace Safety | Fines up to $7,000/violation, injury risk, legal liability | $7,000/violation fines; $50,000+ in injury claims. |
| Disability Accommodations | Lawsuits for failure to accommodate, DFEH/EEOC fines, reputational harm | $25,000-$200,000 in lawsuits; $1,000-$5,000 fines. |
| Termination Process | Penalties for late final pay (up to 30 days’ wages), wrongful termination lawsuits | $1,000-$30,000 per employee in penalties; $50,000+ in lawsuits. |
| Hiring Practices | Discrimination lawsuits, fines, difficulty attracting talent | $10,000-$100,000 in lawsuits; $1,000-$5,000 fines. |
| Personnel Records | Fines ($750/violation), weak legal defenses, audits | $750/violation fines; weakened legal defenses. |
| Remote Work Policies | Lawsuits for unreimbursed expenses, poor morale, productivity issues | $5,000-$50,000 in lawsuits; productivity losses. |
| Required Notices | Fines, lawsuits for denied rights, employee confusion | $500-$5,000 fines; $10,000+ in lawsuits. |
| Background Checks | Fines, FCRA lawsuits, reputational harm | $1,000-$10,000 fines; $10,000-$50,000 in lawsuits. |