For the sake of your time and your sanity you should do neither of those things. You should file a complaint with the appropriate state labor body, particularly

For the sake of your time and your sanity you should do neither of those things. You should file a complaint with the appropriate state labor body, particularly in a US state like CA where the agencies are well funded. The chance of it benefiting you is virtually nil, but the chance of it causing pain for the employer - hopefully forcing them to change their ways - is non-zero. Outside the US I have no knowledge of at what level those protections may/may not be enforced (but hopefully somewhere).