How to Bring a Lawsuit for Unpaid Wages in California

In California, workers can bring an unpaid wage claim to recover earnings that an employer owes them but has failed to pay. Unpaid wage claims can be brought through:

1. the California Division of Labor Standards Enforcement,
2. a federal agency, or
3. a court via a wage and hour lawsuit.

Below, our Los Angeles labor and employment lawyers discuss the following key issues regarding unpaid wages for California workers:

• 1. Salary Law Overview
• 2. Exempt v. Non-Exempt Employees
• 3. When Employers Do Not Pay You
• 4. Statute of Limitations
• 5. Damages
• 6. Retaliation
• Frequently Asked Questions
• Additional Resources

1. Salary Law Overview

California wage and hour law provides a minimum wage and mandatory overtime for non-exempt employees who work over a certain number of hours. An employer who does not pay employees for work performed may owe them unpaid wages.¹

Minimum Wage

It is against the law for California employers to pay employees less than the minimum wage. If your employer violates California’s minimum wage laws, you can recover the money owed in a wage/hour lawsuit or a wage and hour class action lawsuit.²

In 2026, the statewide minimum wage in California is $16.90 per hour.³ However, many cities and counties in California have a minimum wage that is higher than the state minimum. If you work in a city or county with a higher minimum wage, your employer must pay the higher local minimum wage.⁴

Overtime

Under California overtime law, employers are required to pay non-exempt employees overtime pay for work over the maximum number of hours of work.⁵

Non-exempt employees who do not have an alternative workweek schedule are entitled to overtime pay if they work:

• more than eight (8) hours in a single workday;
• more than forty (40) hours in a single workweek; or
• more than six (6) days in a single workweek.⁶

Employees are entitled to minimum overtime pay at one and one-half (1 ½) times their regular hourly rate of pay.

In addition, work in excess of twelve (12) hours in a single workday, or in excess of eight (8) hours on the seventh day of a workweek is paid at double the regular hourly rate of pay.⁷

Even if the employer does not require overtime work, employers may owe employees overtime pay as long as the employer permitted the employee to perform the extra work.⁸

Meal and Rest Breaks

Non-exempt employees are entitled to meal breaks and rest breaks. Under California wage and hour law, employees must receive a thirty (30) minute meal break if they work more than five (5) hours in a day.

Employees who work more than ten (10) hours in a day are entitled to a second 30-minute meal period.⁹

Under California labor law, rest breaks are required for non-exempt employees who work three and a half (3 ½) or more total hours in a day. Employees are entitled to a ten (10) minute rest period for each four (4) hours, or a substantial fraction thereof, worked in a day.¹⁰

If an employer does not allow employees to take meal breaks or rest breaks, the employer will owe the employee one hour’s wages for each break the employee was denied.¹¹

Off-the-Clock Work

Employers in the state of California may not require employees to work “off the clock” without compensation.¹²

Off-the-clock work may include:

• Pre-shift duties
• Post-shift work
• Administrative duties
• Work performed during a meal break or rest break
• being on-call or standby (learn more about on-call pay)

Work done off the clock is compensated at the employee’s regular hourly wage. If off-the-clock work is performed in excess of the maximum number of work hours, the employee is eligible for overtime pay.

Also see our related articles on state laws for sick leave, wage theft and vacation pay.

2. Exempt vs. Non-Exempt Employees

Employees are generally classified as exempt or non-exempt under California wage and hour laws. Non-exempt workers include:

“persons employed in professional, technical, clerical, mechanical, and similar occupations whether paid on a time, piece rate, commission, or other basis.”¹³

Exempt employees may not be subject to wage and hour laws, including overtime and lunch break laws. Exempt employees may include:

• White-collar workers
• Independent contractors
• Employees earning commissions

White-Collar Workers

“White-collar workers” may include persons employed in administrative, managerial, executive, or professional capacities.¹⁴

To be an exempt white-collar worker under California employment law, employees must meet the following requirements:

1. Spend more than one-half of their work time performing intellectual, managerial or creative work;
2. Customarily and regularly exercise discretion and independent judgment in performing those job duties; and
3. Earn a monthly salary equivalent to at least twice the California minimum wage for full-time employment.¹⁵

Independent Contractors

Independent contractors in California may also be exempt from California wage and hour laws. In general, an independent contractor in California labor law is someone who performs services for another, under the following requirements:

1. The person performing the service is promised a specific payment for a specific result; and
2. The person performing services retains control over how to perform the task.¹⁶

However, even if a worker is hired as an independent contractor, the worker is still an employee if the parties act like they are in an employer-employee relationship. As an employee, the worker enjoys protections by California wage/hour, lunch break, and labor laws.¹⁷

3. When Employers Do Not Pay You

When an employer fails to follow California wage and hour laws, you may be able to recover the unpaid wages by filing a wage claim with the Labor Commissioner or filing a lawsuit against your employer.

In many cases, an employer may have violated California labor laws against multiple employees. Successful wage and hour class action lawsuits often involve unpaid wages for overtime, missed meal breaks, or rest periods.

Sometimes it may be advisable to issue a demand for unpaid wages before taking legal action. See our sample demand letter for unpaid wages in California.¹⁸

4. Statute of Limitations

In most cases, the statute of limitations for California wage and hour lawsuits is three (3) years from the date of the most recent violation. It takes time to craft a winning lawsuit, so contact an attorney as soon as possible.¹⁹

5. Damages

In a lawsuit for unpaid wages related to overtime or wages under the minimum wage, you may be able to collect:

• the amount in back wages,
• interest on the outstanding wages and
• reasonable attorney’s fees and court costs.²⁰

If your employer failed to provide mandatory meal breaks or rest breaks, you may be eligible for one hour’s wages for each break you did not receive.²¹

If your employer’s violation of California labor laws was not due to a good-faith error, you may be eligible for double damages (liquidated damages).²²

6. Retaliation

California workers cannot face retaliation for exercising their rights under California wage and hour laws.²³

An employer cannot take retaliatory action, including termination, against an employee for citing wage and hour violations or filing an unpaid wages lawsuit. Firing an employee for filing an unpaid wage claim is “wrongful termination”.

If an employer retaliates against an employee for bringing a wage/hour lawsuit, the employee may have an additional cause of action against the employer.

Frequently Asked Questions

How do I know if I am exempt or non-exempt from overtime pay?

You’re likely non-exempt (entitled to overtime) unless you’re a white-collar worker who spends more than half your time doing intellectual or managerial work, regularly makes independent decisions, and earns at least twice the minimum wage monthly. Most employees in technical, clerical, and mechanical jobs are non-exempt and get overtime pay.

What can I do if my employer has not paid me wages I am owed?

You have three options: file a claim with the California Division of Labor Standards Enforcement, file with a federal agency, or sue your employer in court. You should act quickly since you typically have three years from the most recent violation to take legal action.

What damages can I recover in an unpaid wage lawsuit?

You can recover your back wages, interest on those wages, and reasonable attorney’s fees and court costs. If your employer denied meal or rest breaks, you get one hour’s pay for each missed break. If the violation wasn’t a good-faith error, you may get double damages.

Can my employer fire me for filing a wage claim?

No, it’s illegal for employers to retaliate against you for filing wage claims or citing labor law violations. Firing you for this reason is wrongful termination, and you can sue your employer for additional damages beyond your original wage claim.

Additional Resources

For more information, refer to the following:

• Industrial Welfare Commission Wage Orders – Compilation of labor laws by the California Department of Industrial Relations.
• Exempt and Nonexempt Employees – Explanation of the two classifications of workers by the California Chamber of Commerce.
• California Paycheck Calculator For Salary & Hourly Payment – Free online tool from Forbes.
• California Tax Service Center – Information about income taxes (and other types of taxes) in the state.
• 8 ways to stretch your paycheck further – Tips from Bankrate.com.

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