Section 2684 Of Chapter 2. Registration From California Labor Code >> Division 2. >> Part 11. >> Chapter 2.
2684
. (a) The Legislature finds and declares that persons who are
primarily engaged in sewing or assembly of garments for other persons
engaged in garment manufacturing frequently close down their sewing
shops to avoid paying their employees' wages and subsequently reopen
under the conditions described in subdivision (b), and are more
likely to do so than are other types of persons engaged in garment
manufacturing.
(b) A successor to any employer that is primarily engaged in
sewing or assembly of garments for other persons engaged in the
business of garment manufacturing, as defined by subdivision (b) of
Section 2671, that owes wages to the predecessor's former employee or
employees is liable for those wages if the successor meets any of
the following criteria:
(1) Uses substantially the same facilities or work force to
produce substantially the same products for substantially the same
type of customers as the predecessor employer.
(2) Shares in the ownership, management, control of labor
relations, or interrelations of business operations with the
predecessor employer.
(3) Has in its employ in a managerial capacity any person who
directly or indirectly controlled the wages, hours, or working
conditions of the affected employees of the predecessor employer.
(4) Is an immediate family member of any owner, partner, officer,
or director of the predecessor employer or of any person who had a
financial interest in the predecessor employer.
This section does not impose liability upon a successor for the
guarantee of unpaid minimum wages and overtime compensation set forth
in subdivision (a) or (b) of Section 2673.1.