(a) Each violation will generally be subject to the maximum statutory penalty of ten thousand dollars ($10,000) per employee affected.
(b) If during an investigation, a respondent argues that the appropriate penalty is below the statutory maximum of ten thousand dollars ($10,000), the Labor Commissioner shall consider the nature and seriousness of the violation based on the evidence obtained during the course of the investigation. Consideration of the nature and seriousness of the violation will include, but is not limited to, the type of violation, the economic or mental harm suffered, and the chilling effect on the exercise of employment rights in the workplace, and shall be considered to the extent evidence obtained during the investigation concerned any of these or other relevant factors.
(c) In an appeal proceeding under Labor Code section 98.74, review of an assessed penalty shall be based on the evidence obtained during the investigation.