A waste management company in California may have to pay its employees a salary of $100,000 a year to avoid having to pay the state a penalty, The Associated Press reports.
The state is imposing a fine on Waste Management Co., a company that handles trash, recycling and other recyclables in the state, after a worker for the company’s parent company allegedly committed suicide in February, and the company is also facing a class action lawsuit alleging the state failed to provide adequate compensation to workers in the company.
According to the AP, the state’s Wage and Hour Division alleges that Waste Management violated a 2010 law that requires businesses to provide paid sick leave for employees working for a company in which the company holds a majority interest.
The division has launched an investigation to determine whether Waste Management has violated the law.
The Associated Press contributed to this report.