Civil Rights Department Takes Burger King Franchisee, After School Program Operator to Court for Failure to Report Workforce Data

SACRAMENTO – The California Civil Rights Department (CRD) today announced taking legal action against California Food Management, LLC and Coast 2 Coast Coaching, Inc. over the companies’ alleged failure to report pay and demographic data to the state. Despite repeated warnings, the companies missed multiple legally required deadlines to submit pay data reports, which help the state identify pay gaps and potential discrimination in the workplace.

“Every year, workers nationwide lose out on billions of dollars because of factors like their gender or race,” said CRD Director Kevin Kish. “We can’t solve the problem by burying our heads in the sand. California’s pay data reporting program helps make sure we have the latest information we need to identify and address potential pay discrimination in our state. These companies have been repeatedly warned. Now, we’re going to court to ensure compliance with our state’s pay data reporting laws.”

California Stays the Course

While the federal government has taken steps to end national workforce data collection, California continues to require large companies to report pay and demographic data. The state’s pay data reporting program is part of a broader effort to encourage employers to conduct self-assessments of pay disparities, promote voluntary compliance with equal pay and anti-discrimination laws, and efficiently identify wage patterns and effectively enforce civil rights laws in the workplace. By helping employers and the state clearly identify the challenge, the pay data reporting program can help drive action to address it.

Show Us the Receipts

California’s pay data reporting law requires large employers to provide information on the number of employees by race, ethnicity, and sex in certain job categories and by annual earnings on a yearly basis. Despite these requirements and repeated warnings from CRD, California Food Management, LLC and Coast 2 Coast Coaching, Inc. allegedly failed to comply with the state’s legally mandated reporting requirements over multiple years.

California Food Management, LLC operates dozens of Burger King restaurants across Southern California and Coast 2 Coast Coaching, Inc., which does business as Elevo, employs thousands of workers to primarily run after school sports programs. As part of the legal action announced today, CRD is seeking court orders to require the companies to submit the missing data and impose civil penalties of as much as $200 per employee.

Committed to Fair Pay

CRD continues to tackle pay and related forms of discrimination across the state, including through ongoing efforts to ensure compliance with the state’s pay data reporting program. Earlier this year, the department released new data showing ongoing pay disparities by race and gender among large private employers in the state. The state also reached a settlement with the Pleasanton Unified School District after the alleged illegal firing of a pregnant custodian. In 2024, the department secured a $15 million settlement with Snapchat to resolve a more than three-year investigation over claims of employment discrimination, equal pay violations, sexual harassment, and retaliation. In 2023, CRD obtained a nearly $100,000 settlement against Cambrian Homecare, a Long Beach-based company that provides in-home care services, to resolve repeated alleged failures to report pay data to the state.

If you or someone you know has been the victim of discrimination, CRD may be able to assist you through its complaint process. The department also provides general information and factsheets online about civil rights protections for members of the public, including with respect to employment discrimination. You can go to the state’s pay data reporting page to learn more about the program.

You can learn more by reading the petition to compel against California Food Management, LLC and Coast 2 Coast Coaching, Inc.

Legal Disclaimer:

EIN Presswire provides this news content "as is" without warranty of any kind. We do not accept any responsibility or liability for the accuracy, content, images, videos, licenses, completeness, legality, or reliability of the information contained in this article. If you have any complaints or copyright issues related to this article, kindly contact the author above.