A proposed class-action labor lawsuit against the Irwindale-based maker of the sriracha chili sauce is headed to arbitration.
Plaintiff Nathaniel Mills’ Los Angeles Superior Court lawsuit against Huy Fong Foods Inc. alleges that he and other employees were not paid all overtime wages, given all meal and rest breaks to which they were entitled and not reimbursed for all business-related items purchased with their own money.
The suggested class would have involved current and former employees who worked for the company between May 2022 and the time of the class certification.
On Wednesday, Judge Timothy Patrick Dillon signed an order dismissing Mills’ class claims and referring the case to binding arbitration. The judge stayed Mills’ Private Attorneys General Act claims in the lawsuit pending the outcome of the arbitration and he is retaining jurisdiction in order to enforce the arbitration agreement. He also scheduled a status conference for Sept. 24.
The order follows an agreement by both sides to resolve the case in arbitration.
PAGA is a California law allowing employees to sue employers on behalf of the state for alleged Labor Code violations.
Mills brought the suit May 9 and filed an amended version on July 28.