Community business associations unite in support of changes to the Private Attorneys General Act.

Local chambers of commerce across California are coming together to advocate for reforming the Private Attorneys General Act (PAGA). This unified action is a remarkable display of their commitment to addressing the flaws in the current system. Enacted in 2004, PAGA was intended to empower workers to effectively resolve labor disputes. However, after nearly two decades, it has become clear that the framework of PAGA is not working as intended.

As PAGA affects virtually every industry, chambers of commerce, which represent the backbone of local business communities, are in a unique position to witness its real-world impacts. Their advocacy for change is not just about protecting businesses, but also about creating a fairer and more effective system for workers. In the past month, several local business groups, including the Anaheim Chamber, Chino Valley Chamber, Corona Chamber, Fresno Chamber, Greater Conejo Valley Chamber, Greater San Fernando Valley Chamber, Hollywood Chamber, Monterey Peninsula Chamber, Morgan Hill Chamber, Orange County Business Council, Greater Riverside Chambers, Sacramento Metro Chamber, Santa Monica Chamber, Simi Valley Chamber, and Valley Industry and Commerce Association, have met with their legislators to make the case for fixing PAGA.

The Problem with PAGA

Initially, PAGA aimed to streamline labor dispute resolutions. However, it has proven to be inefficient for workers and unfairly burdensome for thousands of small businesses. In many cases, the money recovered from lawsuits does not go directly into workers’ pockets, diluting the intended benefit. PAGA lawsuits can also be costly and time-consuming, leading to prolonged disputes that do not serve the interests of either workers or businesses. Small businesses, in particular, are disproportionately affected, facing significant legal challenges and financial strains.

Impact on Local Communities

The active involvement of local chambers on this issue highlights the widespread impact of PAGA on communities. Small businesses are often at the heart of local economies, and the current system places an undue burden on them. By advocating for these reforms, chambers are not just fighting for the businesses they represent, but also for the health of their local economies and the well-being of workers who are integral to these communities.

Get Involved

If your organization is interested in getting more involved, join the Fix PAGA coalition today. Together, we can work towards creating a more fair and efficient system for workers and businesses alike.

Staff Contact: Nick Ortiz 

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