I work in a California nursing facility and I have noticed on several occasions the personnel director's wife helping him out with his work. The wife also works at the facility but in laundry. I noticed on one occasion a employee file, I saw the name of the employee on the folder, the wife was going into the folder. I have also seen employee papers and she was going through those. The Administrator of the facility knows about this but does nothing about it. Who can I contact in the Sacramento area in regards to this violation?

No one, since no legal violation has occurred.

There is a great deal of misunderstanding about privacy rights in the workplace. Basically, the employee files belong to the employer and they are free to allow anyone they want to have access. Just because the wife works in the laundry does not make it illegal (possibly inappropriate, but not illegal) to allow her to access employee files if she is helping her husband with his work.