Have You Exposed Your Organization to Joint Liability for Healthcare Worker Minimum Wage Violations?
Understanding SB 525 and Client Employer Risks Under California Law.
Prepared by JaniTek Cleaning Solutions, your trusted partner for compliant, high-quality commercial cleaning in California’s Greater Central Valley and Central Coast.
July 2026
Executive Summary
SB 525 (codified in Labor Code §§ 1182.14, 1182.15, and 1182.16) dramatically raises the minimum wage for covered healthcare employees, including janitors, housekeepers, and support staff at healthcare facilities, with phased increases progressing toward $25/hour. Many healthcare operators unknowingly assume massive liability by not ensuring their janitorial contractors fully comply.
Combined with Labor Code § 2810.3, healthcare facilities (as client employers) can be held jointly and severally liable for underpaid wages, penalties, PAGA claims, waiting time penalties, interest, attorney fees, and more, even when the work is performed by a subcontractor. This exposure applies when on-site janitorial services support healthcare operations and the facility exercises any meaningful control.
At JaniTek Cleaning Solutions, we’re experts not only in the specific healthcare cleaning routines, safety protocols, and training required in medical environments, but also in staying fully compliant with complex labor laws like SB 525. Our transparent, audit-ready practices help healthcare providers avoid costly surprises while maintaining the highest cleaning standards in sensitive clinical settings. This white paper outlines SB 525 requirements, joint liability risks, and practical steps to protect your facility.
Protect your organization from hidden wage liabilities. Partner with JaniTek for compliant, reliable service you can trust.
Purpose and Scope of SB 525
SB 525 establishes a higher, phased minimum wage specifically for “covered health care employees” at covered healthcare facilities. This explicitly includes janitorial and housekeeping staff (regardless of job title) when their work is performed primarily on-site to support healthcare services. Coverage can extend to contractors and subcontractors based on the totality of circumstances, including the facility’s control over wages, hours, or working conditions.
Key Risks for Healthcare Facilities
- Joint and several liability: You can be sued directly for the subcontractor’s wage violations.
- Penalties: Back wages plus interest, waiting time penalties (up to 30 days’ pay), PAGA penalties, civil penalties, attorney fees, and potential misdemeanor charges.
- Limited indemnification: You generally cannot fully shift these liabilities to the contractor.
- Triggers: Applies to facilities with 25 or more employees and more than 5 supplied workers in many cases, especially for-profit entities.
JaniTek’s Commitment to Healthcare Compliance and Excellence
JaniTek Cleaning Solutions is fully registered with the DLSE and maintains rigorous compliance with SB 525 and all applicable wage laws. We combine deep expertise in healthcare-specific cleaning (infection control, safety protocols, specialized routines) with transparent pay practices and audit support. This dual strength keeps your facility clean, safe, and legally protected.
Best Practices for Healthcare Operators
- Verify DLSE registration and wage compliance documentation.
- Include robust contract clauses with audit rights and compliance certifications.
- Conduct periodic pay audits for on-site workers.
- Partner with proven, compliant providers like JaniTek.
- Consult employment counsel for facility-specific guidance.
Conclusion: Secure Compliance with a Trusted Partner
SB 525 and client employer liability rules reflect California’s focus on protecting healthcare workers. JaniTek Cleaning Solutions helps healthcare facilities meet these obligations efficiently while delivering exceptional cleaning results.
Take the Next Step with JaniTek
1-855-JANI-TEK | [email protected] | janitek.net
This white paper is for educational purposes only and does not constitute legal advice. Consult qualified counsel and the DLSE for your specific situation.
