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In July 2025, the California Labor Commissioner’s Office awarded $8.55 million to 16 local prosecutors’ offices to investigate and prosecute wage theft. The grants pay for staff and audits so district attorneys, city attorneys and county counsel can bring more labor cases. For workers, the lesson is that wage theft is not just a paperwork problem: in serious cases it can be prosecuted as a crime, and you have several ways to report it and recover your pay.
Key takeaways
- The Workers’ Rights Enforcement Grant Program funds local prosecutors to enforce wage and labor laws; the 2025 round awarded $8.55 million to 16 offices.
- A third round of up to $8.55 million covers July 2026 to June 2027, with awards scheduled to be announced December 1, 2026.
- Intentional wage theft of more than $950 from one worker, or $2,350 from two or more workers, in a 12-month period can be charged as grand theft (Penal Code §487m).
- Criminal enforcement doesn’t replace your own claim; you can still file a wage claim or lawsuit to recover what you are owed.
Who received the 2025 grants
The Department of Industrial Relations announced the awards on July 23, 2025. The program was established in 2023 with $18 million over two years; this was its second round. Prosecutors requested more than $10.7 million, and each office could apply for up to $750,000.
| Prosecutor’s office | 2025 award |
|---|---|
| Alameda District Attorney | $750,000 |
| Contra Costa District Attorney | $360,000 |
| Fresno City Attorney | $750,000 |
| Long Beach City Prosecutor | $250,000 |
| Los Angeles City Attorney | $400,000 |
| Los Angeles County Counsel | $250,000 |
| Los Angeles District Attorney | $750,000 |
| Oakland City Attorney | $630,269 |
| Orange County District Attorney | $700,000 |
| San Diego City Attorney | $400,000 |
| San Diego District Attorney | $750,000 |
| San Francisco City Attorney | $600,000 |
| San Francisco District Attorney | $233,256 |
| San Mateo District Attorney | $750,000 |
| Santa Clara County Counsel | $750,000 |
| Sonoma District Attorney | $226,475 |
The money supports wage theft investigations, specialized enforcement units and more prosecutions of employers who break labor laws. In announcing the awards, Labor Commissioner Lilia García-Brower said wage theft “is a serious crime that devastates working families.” For the current round, the DIR grant page lists $8.55 million in funding for July 2026 through June 2027, with a cap of $1 million per applicant.
When wage theft is a crime
Penal Code §487m allows intentional wage theft to be punished as grand theft when the employer takes more than $950 from one employee, or more than $2,350 in total from two or more employees, in any consecutive 12-month period. “Wages” for this purpose include gratuities and benefits, and the law also covers independent contractors and the businesses that hire them.
Example (hypothetical): A restaurant owner keeps part of the servers’ tips and stops paying overtime to five cooks. Over a year, the unpaid amounts total several thousand dollars. A local prosecutor with a funded labor unit could investigate that as criminal wage theft, while the workers separately pursue the money they are owed.
Common forms of wage theft
- Unpaid overtime, or paying straight time for overtime hours (see unpaid overtime)
- Off-the-clock work before or after shifts
- Paying less than the minimum wage, which is $16.90 an hour statewide as of 2026 and higher in many cities (check our minimum wage by city tool)
- Missed meal and rest break premiums
- Taking tips or misclassifying employees as independent contractors
- Late or short final paychecks
How to report wage theft and recover your pay
- Document your hours and pay. Keep pay stubs, schedules and your own log of hours. Your employer can’t stop you from keeping a personal record.
- File a wage claim. The Labor Commissioner accepts wage claims online, by email, by mail or in person. Most overtime and minimum wage claims must be filed within three years.
- Report to a local prosecutor. You can contact your district attorney or city attorney about serious or repeated violations. A criminal case may result in restitution, but it is not a substitute for your own claim.
- Consider a lawsuit. Court cases can include penalties, class or representative claims, and longer look-back periods for some claims. Compare your options in wage claim vs. hiring a lawyer.
- Know you are protected. Labor Code §98.6 prohibits retaliation for complaining about unpaid wages, and California labor laws protect workers regardless of immigration status.
Use our free wage and hour calculator to estimate what you may be owed.
Frequently asked questions
Can my employer go to jail for not paying me?
In serious cases, possibly. Intentional wage theft above the Penal Code §487m thresholds can be charged as grand theft. Whether charges are filed is up to the prosecutor.
Will a prosecutor get my wages back for me?
A criminal case may include restitution, but you shouldn’t count on it. Filing your own wage claim or lawsuit protects your deadline and your recovery.
Does my immigration status matter?
No. The Labor Commissioner states that California’s labor laws protect all workers, regardless of immigration status.
Can I be fired for reporting wage theft?
Not lawfully. Retaliation for wage complaints is prohibited, and an adverse action within 90 days of a complaint is presumed retaliatory (Labor Code §98.6).
Talk to a California employment lawyer
Employees First Labor Law represents workers exclusively in wage and hour cases across California. We offer free virtual consultations to review your pay records. Contact us or call (310) 853-3461.
This article is general information about California law as of 2026, not legal advice for your situation. Reading it does not create an attorney-client relationship.
