California Wage and Hour Lawsuit Claims Hyatt Violated Labor Law
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In recent news, Hyatt Corporation faces allegations of California Labor Code violations stemming from employee claims that it did not pay for all hours worked.
Case: Josh Montes v. Hyatt Corporation dba The Seabird
Court: San Diego County Superior Court of the State of California
Case No.: 25CU065911N
Get to Know the Plaintiff: Montes v. Hyatt
The plaintiff, Montes, filed a class action complaint against Hyatt Corporation for allegedly failing to provide meal and rest breaks. Montes claims that rigorous work schedules left Hyatt employees unable to take off-duty rest breaks and not fully relieved of duty during rest periods. The plaintiffs specifically claimed that they were required to work more than 4 hours without a 10-minute rest period due to excessive workload and inadequate staffing. From time to time, employees were also allegedly denied both their legally mandated ten-minute rest breaks for shifts lasting 6 to 8 hours and all three of their legally mandated ten-minute breaks for shifts lasting 10 hours or more. According to the plaintiff, Hyatt Corporation also allegedly failed to provide the required one-hour wage payment for missed breaks.
Who is the Defendant in the Case?
The defendant in the case, Hyatt Corporation (dba The Seabird), faces allegations that it violated multiple California State Labor Code Sections, including §§ 201, 202, 203, 204, 210, 226.7, 510, 512, 558, 1194, 1197, 1197.1, 1198, 1198.5, and 2802.
The Plaintiffs Allege the Defendants Violated Multiple Labor Laws
In the court documents, the plaintiffs allege the company engaged in multiple labor law violations. In summary, the plaintiffs allege that the company failed to: pay at least minimum wages, pay accurate overtime wages, provide legally required meal breaks and rest periods, provide accurate wage statements, provide wages promptly, and reimburse workers for required business expenses.
The Main Question of the Case: Montes v. Hyatt
The main question in this case is whether Hyatt Corporation maintained policies, staffing levels, or scheduling practices that resulted in employees performing compensable work without lawful pay (including time tied to missed, late, or interrupted rest periods) in violation of California wage-and-hour requirements. The lawsuit alleges employees were overburdened and inadequately staffed, leading to situations in which they worked more than 4 hours without receiving the required 10-minute rest breaks and, in some instances, were denied the correct number of rest periods for shifts spanning 2–4 hours, 6–8 hours, and 10+ hours. A related issue is whether Hyatt allegedly failed to provide premium pay (one additional hour at the employee’s regular rate) when compliant rest periods were not provided, and whether those alleged break violations also connect to broader claims for unpaid minimum and overtime wages, wage statement inaccuracies, late payment of wages, and unreimbursed business expenses under the Labor Code sections cited in the complaint.
As of January 2026, the case was pending in the San Diego County Superior Court of the State of California.
FAQ: Montes v. Hyatt
Q: What are California’s rest break rules, and how many 10-minute breaks are required based on shift length?
A: California Labor Law requires employers to provide nonexempt employees with a paid, uninterrupted 10-minute rest break for every 4 hours worked. When feasible, the break must be in the middle of the work shift.
Q: If an employee works more than four (4) hours without a rest break, what pay or remedies may be owed?
A: If a nonexempt employee is not provided with a break during a work shift lasting more than four hours, the California employer is required to pay the employee “premium pay” as a penalty.
Q: What is “premium pay” for missed rest breaks, and when must an employer pay one additional hour of wages?
A: “Premium pay” is a penalty California employers are required to provide when they fail to provide a nonexempt employee with a legally mandated rest period or meal break. Premium pay equals one additional hour at the employee’s regular pay rate.
Q: Can “inadequate staffing” or heavy workloads be used to justify missed or shortened rest periods under California law?
A: No, inadequate staffing or heavy workloads do not excuse missed breaks, shortened breaks, or interrupted breaks. Employees must permit compliant rest breaks for their nonexempt employees and cannot use operational demands as justification for violating labor law requirements.
Q: How can rest break violations lead to additional claims for unpaid overtime, minimum wage shortfalls, or inaccurate wage statements?
A: In many cases, rest break violations result in other wage and hour claims “stacking” up. Missed, interrupted, or shortened breaks regularly lead to employees working “off-the-clock” or having their work hours recorded inaccurately. The violations trigger additional violations for: missed premium pay, inaccurate wage statements, minimum wage shortfalls, and unpaid overtime.
Q: What types of evidence are commonly used in class actions to show a pattern or practice of missed rest breaks (e.g., schedules, time records, policies, staffing data)?
A: In California, class actions attempting to establish a pattern or practice of missed rest periods and meal breaks often depend on a variety of evidence, including written policies or training manuals, payroll records, work schedules, or break logs (or log of a lack of breaks), labor budgets and staffing levels, manager communications, employee testimony, etc.
If you believe your employer’s regular business practices violate California labor laws, the employment law attorneys at Blumenthal Nordrehaug Bhowmik De Blouw LLP can help. Contact one of our offices in Los Angeles, San Diego, San Francisco, Sacramento, Riverside, or Chicago today to learn how to hold your employer accountable.
