New policy could help combat wage theft in Fresno

FRESNO, Calif. (KFSN) -- The Fresno City Council is considering a new policy aimed at combating wage theft throughout the city.

Fresno Councilmember Tyler Maxwell says it's time to combat wage theft at the local level. It's a problem Maxwell says plagues California, including here in the Valley.

"Working-class families are the backbone of this community," said Maxwell.

Wage theft could happen in several different ways, like earning less than minimum wage or not being allowed to take a meal or rest break.

Or being misclassified as an employee so the business can save on taxes or other costs.

Combatting wage theft typically happens at the state level.

In 2022, the state received more than 38,000 wage claims.

"The current system is broken. The California Labor Commissioner's Office remains underfunded and receives tens of thousands of cases each and every single year," Maxwell explained.

Maxwell says all those cases create a backlog, meaning it takes even longer for employees to earn repayment of stolen wages.

The councilman is proposing a new policy allowing workers to file complaints on the city's website.

"Cases will come in that way. Under the law, we have to forward any case that we get that we believe has merit to the state labor commissioner first. They have 30 days to act. If they do not, we retain jurisdiction over the matter," said Fresno City Attorney Andrew Janz.

Janz says the city could step in on those local cases to help clear the backlog.

It all comes as welcome news to David Rivas, a representative of the Nor Cal Carpenters Union.

"This gives a tool to the city to battle this. Our contractors are the ones who are facing this problem," said Rivas.

While Rivas and his union applaud Maxwell's effort, Fresno Chamber of Commerce President Scott Miller is pushing back.

In a statement to Action News, he said, in part:

"California employees are already among the most protected in the Nation... Our Council should spend more time attracting business to Fresno rather than driving it away."

Councilman Maxwell will introduce his proposal during Thursday's council meeting.

If the council approves the plan, the website will go live in April.

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