On May 6, 2025, the California Labor Commissioner’s Office (LCO) reported that it ordered Ali Baba Corp. to pay $40,460 for illegally firing a mental health care facility worker in San Jose who spoke up about unsafe conditions and missed meal breaks. When new management took over, the worker noticed the facility conditions declined by having dirty bathrooms, roaches in the kitchen, and safety problems that management ignored. Having growing concerns about resident safety, reported the concerns in emails to management several times, but no one responded. The worker also told the employer that they intended to report the issue to the LCO. In response, the company suspended and fired the worker, accusing them of making threats.
The worker filed a retaliation complaint with the LCO about the way the employer treated them. In November 2024, the Labor Commissioner ruled that Ali Baba Corp. had wrongfully suspended and terminated the worker in retaliation for speaking up, and ordered the company to pay them $40,000 in penalties for the illegal suspension and termination. Interest on the order accrued.
Eventually, the LCO recovered the full $40,460 through bank levies and paid it directly to the worker. This case shows that employers are not allowed to fire workers for reporting to their employers what they reasonably believe are health and safety issues or violations of the law in California.