Southwest Airlines PAGA Lawsuit Returned to California State Court After Federal Remand Ruling
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A California wage-and-hour lawsuit filed against Southwest Airlines Co. will proceed in state court after a federal judge ruled the airline failed to establish the amount in controversy required for federal jurisdiction. The case, brought by Raymond Pitsick-Perez under California’s Private Attorneys General Act (PAGA), involves allegations tied to wage payments, wage statements, and payroll practices.
Case: Raymond Pitsick-Perez v. Southwest Airlines Co. et al.
Court: U.S. District Court for the Southern District of California
Federal Case No.: 3:25-cv-03000
Original State Court: San Diego County Superior Court
The Plaintiff: Pitsick-Perez v. Southwest Airlines Co. et al.
According to the court-supported order, Raymond Pitsick-Perez filed the lawsuit on August 1, 2025 in San Diego County Superior Court. The action was brought under California’s Private Attorneys General Act, commonly known as PAGA.
The complaint includes allegations involving:
● Failure to pay regular-rate wages for all work performed
● Failure to timely pay wages during employment
● Failure to timely pay wages at termination
● Failure to provide compliant itemized wage statements
● Failure to pay employees twice per month
PAGA actions allow employees to pursue certain California Labor Code penalties on behalf of the State of California and other allegedly affected employees.
The Defendant: Pitsick-Perez v. Southwest Airlines Co. et al.
The defendants identified in the court order are Southwest Airlines Co. and Does 1–100.
Large transportation and airline employers operating in California are subject to state wage-and-hour requirements governing payroll practices, wage statements, and timing of employee compensation. California employment litigation involving airlines can also involve complex jurisdictional and procedural issues due to the size of the workforce and the interaction between state and federal legal frameworks.
The court-supported order in this case focused on jurisdictional questions rather than determining whether the alleged wage-and-hour violations actually occurred.
A History of the Case: Pitsick-Perez v. Southwest Airlines Co. et al.
The lawsuit was originally filed in San Diego County Superior Court on August 1, 2025. Southwest Airlines Co. later removed the case to the U.S. District Court for the Southern District of California on November 5, 2025.
After removal, the plaintiff challenged federal jurisdiction and sought remand to the state court.
On January 15, 2026, the federal court granted the plaintiff’s motion to remand. According to the court’s order, Southwest Airlines Co. did not meet its burden of establishing that the amount in controversy exceeded the threshold required for federal diversity jurisdiction.
As a result, the federal court returned the matter to San Diego County Superior Court, where the litigation may continue under California procedural rules.
The Main Question Being Considered: Pitsick-Perez v. Southwest Airlines Co. et al.
The January 15, 2026 ruling centered on a procedural but important legal issue: whether the case properly belonged in federal court.
When employment cases are removed from state court, defendants generally must establish that federal jurisdiction requirements are satisfied. In diversity-based removal cases, one key requirement is demonstrating that the amount in controversy exceeds $75,000.
The court concluded Southwest Airlines Co. failed to sufficiently establish the jurisdictional amount required for federal jurisdiction. The ruling did not determine whether the alleged wage-and-hour violations occurred or whether Southwest ultimately bears liability under PAGA.
Why This Case Matters: Pitsick-Perez v. Southwest Airlines Co. et al.
The case highlights the growing importance of jurisdictional disputes in California employment litigation, particularly in PAGA actions involving large employers.
For employers, removal to federal court is often viewed as a strategic litigation decision. For employees, remaining in California state court may significantly affect procedural rules, motion practice, litigation timelines, and case strategy.
The ruling also reflects the level of scrutiny federal courts apply when evaluating removal attempts. Even before substantive wage-and-hour issues are addressed, jurisdictional disputes can shape where and how employment cases proceed.
FAQ: Pitsick-Perez v. Southwest Airlines Co. et al.
Q: What is the Southwest Airlines PAGA lawsuit about?
A: The lawsuit involves allegations concerning wage payments, wage statements, and payroll practices under California’s Private Attorneys General Act.
Q: What is a PAGA claim?
A: PAGA allows employees to seek certain California Labor Code penalties on behalf of the State of California and other allegedly affected employees.
Q: Why was the case removed to federal court?
A: Southwest Airlines Co. removed the lawsuit to federal court based on asserted federal jurisdiction.
Q: Why did the federal court remand the case back to state court?
A: The federal court ruled that Southwest Airlines Co. did not sufficiently establish that the amount in controversy exceeded the jurisdictional threshold required for federal diversity jurisdiction.
Q: Did the federal court decide whether wage violations occurred?
A: No. The January 15, 2026 order addressed jurisdiction and remand issues, not the merits of the underlying PAGA allegations.
If you have questions about California wage-and-hour law, PAGA litigation, payroll compliance, or employee compensation disputes, contact Blumenthal Nordrehaug Bhowmik DeBlouw LLP. Experienced employment law attorneys are ready to help at offices in Los Angeles, San Diego, San Francisco, Sacramento, Riverside, and Chicago.
