Gordon Rees Scully Mansukhani Senior Counsel Danielle Cruz authored an article titled “Why Settlement Allocation Matters in California Wage Disputes,” published by Daily Journal.
The article covers the critical importance of properly allocating settlement funds between wage and non-wage components in employment disputes, highlighting the distinct tax withholding and reporting requirements for each. It emphasizes that early, clear allocation agreements and appropriate tax documentation are essential to avoid disputes, ensure compliance, and protect both parties from tax liabilities.
Cruz represents employers in all aspects of employment litigation, including defending claims for wrongful termination, discrimination, harassment, retaliation, and alleged wage and hour violations. She assists business owners in achieving and maintaining compliance with California’s labor and employment laws.
Read the full article in Daily Journal. Subscription may be required.