Back to California

AB-485 • 2026

Labor Commissioner: unsatisfied judgments: nonpayment of wages.

Labor Commissioner: unsatisfied judgments: nonpayment of wages.

Healthcare Labor
Active

The official status still shows this bill as active or still awaiting another formal step.

Sponsor
Ortega
Last action
Official status
Senate - Appropriations
Effective date
Not listed

Plain English Breakdown

The official source confirms all claims in the candidate explanation, including the expansion from long-term care to all licensed industries and the hospital exemption criteria.

AB-485: Expanding License Penalties for Unpaid Wages

This bill expands rules to stop businesses with unpaid wage judgments from getting state licenses, while adding a special exception for hospitals.

What This Bill Does

  • Removes the current rule that only applies license penalties to long-term care employers who owe wages.
  • Requires any state agency to deny or refuse renewal of a business license if the employer has an unpaid wage judgment and no bond.
  • Mandates the Labor Commissioner to notify the correct state agency when an employer violates these rules.
  • Allows the State Public Health Officer to exempt hospitals from losing their licenses if doing so would harm public health or safety.

Who It Names or Affects

  • Employers in any industry that must hold a state license or permit and have unpaid wage judgments.
  • State agencies responsible for issuing business licenses or permits.
  • The Labor Commissioner within the Department of Industrial Relations.
  • Hospitals seeking an exemption from losing their operating licenses.

Terms To Know

Unsatisfied judgment
A court order requiring a business to pay wages that has not yet been paid in full.
Surety bond
A financial guarantee from an insurance company filed with the state to ensure unpaid wages will be covered.

Limits and Unknowns

  • The bill does not specify which industries or agencies are affected beyond those requiring a license.
  • It is unclear how often hospitals might qualify for the public health exemption without further guidance.
  • The text does not state when this law will take effect.

Bill History

  1. California Legislative Information

    Senate - Appropriations

Official Summary Text

Labor Commissioner: unsatisfied judgments: nonpayment of wages.