Our Work

BACKGROUND

California’s Private Attorneys General Act (PAGA) was enacted in 2004 with the goal of creating a system to assist workers resolve labor disputes. However, after two decades, it was clear PAGA was failing both workers and businesses.

Under PAGA, employee claims took twice as long to resolve, with workers receiving only pennies on the dollar from settlements. Additionally, PAGA suits became a lucrative, multi-billion-dollar scheme for attorneys to shakedown small businesses, nonprofits and thousands of California employers.

Recognizing PAGA was failing both California workers and businesses, leaders from the business community filed and qualified a ballot initiative that would have modernized and streamlined PAGA to be better for employees and employers.

In October 2023, BCFS was hired to develop a winning campaign to pass a qualified initiative while also running a parallel public affairs effort promoting a legislative solution that could avoid the need for a costly ballot fight.

BCFS developed a pro-employee narrative – Fix PAGA: There’s a Better, Fairer Way for Workers – to give legislators and the Administration something to be “for” (rather than just repealing an employee protection). The campaign included highly targeted statewide and in-district paid media, earned media, opinion research, policy and economic research, statewide coalition building, aggressive field and grassroots activities, and a comprehensive social media campaign.

KEY CAMPAIGN ELEMENTS

• Crafted a strategic pro-employee message frame giving elected officials something to be “for”
• Established a highly targeted statewide and in-district advertising campaign that included digital and mail
• Built a diverse coalition of nearly 200 organizations, including non-profits, community and disability advocates, social justice groups, health providers, small businesses, trade associations and others
• Identified and wrote dozens of case studies and testimonials from real business owners, non-profits and others demonstrating how PAGA was failing employees and employers
• Organized 28 grassroots meetings with legislative offices, mobilizing more than 60 coalition partners and constituents to participate
• Secured dozens of news stories and opinion editorials covering the need for PAGA reform, including the New York Times, POLITICO, Wall Street Journal, Los Angeles Times, San Francisco Chronicle and more
• Sent regular emails to legislative offices featuring case studies to hammer home the ‘real stories of PAGA failures’
• Received widespread social engagement from a diverse array of state, county and local elected officials, school board members, political influencers, thought leaders and more

OUTCOME

In June 2024, the California State Legislature unanimously passed a legislative deal – Senate Bill 92 (Umberg) and Assembly Bill 2288 (Kalra). The agreement came after months of discussions between the Newsom Administration, legislative leaders, labor advocates and the coalition. Both bills were signed by Governor Gavin Newsom on July 1, 2024, and the initiative was removed from the November ballot.

“This reform is decades in the making — and it’s a big win for both workers and businesses. It streamlines the current system, improves worker protections, and makes it easier for businesses to operate…”

– Governor Gavin Newsom