If you’re a California employer, especially in places like Corona, Riverside, or Inland Empire, there’s a good chance you’ve heard about PAGA—but may not know just how easy it is to get hit with a claim. One of the most common mistakes that triggers PAGA lawsuits in California has to do with something many businesses overlook: inaccurate or non-compliant wage statements. In this blog post, a Corona PAGA Lawyer Shares the #1 Mistake That Triggers PAGA Lawsuits in California. Also shared in this blog article is how to avoid costly penalties and stay compliant with the law.

At Rupal Law, we defend California employers against aggressive Private Attorneys General Act (PAGA) claims. We’ve seen firsthand how even minor technical errors—like a missing date or wrong employer name—can result in thousands (or even millions) in penalties.

What Is a PAGA Lawsuit?

PAGA stands for the Private Attorneys General Act, a California law that allows employees to sue their employer on behalf of the state for Labor Code violations. These claims don’t require class certification and can involve hundreds of workers. That’s why they’ve become such a popular tool for plaintiff-side lawyers—and a big headache for business owners.

Violations don’t have to be intentional. Under PAGA, technical violations—even ones you didn’t know about—can cost you $100 to $200 per pay period, per employee. And that adds up fast.

Why Wage Statement Violations Are So Dangerous

One of the most common ways businesses in California end up facing a PAGA claim is by issuing wage statements (also known as pay stubs) that are missing legally required information.

Under Labor Code Section 226, every employee must receive a wage statement that includes:

• Gross wages earned

• Total hours worked

• Number of piece-rate units earned (if applicable)

• All deductions

• Net wages earned

• Dates of the pay period

• Employee name and last four digits of SSN or employee ID

• Name and address of the legal employer

• Hourly rates and hours worked at each rate

If even one of these is missing or wrong, it can be considered a violation—and that’s what makes these claims so dangerous.

Common Mistakes That Trigger PAGA Lawsuits

Here are some real examples we’ve seen from Corona-area employers who were shocked to find themselves at the center of a PAGA claim:

1. Wrong Employer Name or Address

Many businesses use a DBA or a payroll service provider’s address on their pay stubs—but legally, the name and address must reflect the actual legal entity that employs the worker. Getting this wrong can result in penalties.

2. Missing Pay Period Dates

If your wage statement doesn’t clearly show the start and end dates of the pay period, it’s non-compliant.

3. Incorrect or Missing Hours

Especially with non-exempt employees, failing to show all hours worked—broken down by rate or overtime—can open the door to a wage/hour claim.

4. No Itemized Deductions

Even if deductions are legitimate (like benefits or taxes), they must be clearly itemized on the wage statement.

How This Plays Out in a PAGA Case

Let’s say you have 20 employees and they’ve been receiving incorrect wage statements every pay period for the past year. Under PAGA:

• First violation: $100 per employee per pay period

• Subsequent violations: $200 per employee per pay period

That’s $200 x 26 pay periods x 20 employees = $104,000 in penalties. And that’s just for the wage statement part—if there are meal break violations or other claims, the number can double or triple.

What Employers in Corona and Southern California Should Do

Here’s what we recommend if you’re an employer trying to avoid a wage statement–related PAGA claim:

1. Audit Your Pay Stubs

Use a compliance checklist based on Labor Code Section 226. If you’re not sure whether you’re compliant, bring in a legal team to do a review. This small investment can save you hundreds of thousands later.

2. Fix the Errors Immediately

PAGA doesn’t give credit for good intentions. The only way to reduce your liability is to fix the problems before someone files a claim.

3. Keep Records

Make sure you’re storing copies of wage statements for at least three years. If a claim is filed, you’ll need to show what was provided to employees.

4. Train Your HR and Payroll Teams

The people issuing the wage statements should know exactly what’s required by law. Many claims stem from simple misunderstandings or using outdated payroll software.

Defending Wage Statement PAGA Claims

If you’ve already received a PAGA notice or are facing a claim based on wage statement violations, don’t panic—but don’t delay either. You typically have 65 days to respond once the notice is filed with the Labor and Workforce Development Agency (LWDA).

An experienced PAGA defense lawyer can help you:

• Analyze whether the alleged violations are valid

• Determine if the employee even has standing to sue

• Build a response to challenge the claim

• Possibly resolve the issue through settlement or dismissal

At Rupal Law, we use strategic audits, manageability challenges, and strong employer documentation to fight back.

Call Rupal Law Today

Wage statement violations are one of the easiest mistakes to make—and one of the costliest if left unchecked. If you’re a business owner in Corona, Riverside County, or anywhere in California, let us help you get compliant and stay protected.

📞 Call Rupal Law today at (951) 460-0830 to speak to a Corona PAGA lawyer. 
Or fill out our form to schedule a confidential employer consultation.

You work hard to build your business—don’t let a technical mistake bring it down.