When you leave a job, whether voluntarily or through termination, you expect to receive your final paycheck on time. Unfortunately, some employers delay or even withhold final wages, leaving employees struggling to cover their expenses. In California, state law strictly regulates when and how an employer must provide a final paycheck, and failing to do so can result in significant penalties against the employer.
If your employer has delayed your final paycheck, understanding your legal rights and available remedies is critical.
California law is clear about when an employee must receive their final wages. If you are terminated or laid off, your employer must pay you immediately at the time of termination. This means that on your last day of work, you should walk away with your final paycheck in hand.
If you resign with at least 72 hours’ notice, your employer must pay you on your last day of work. If you quit without providing notice, your employer has up to 72 hours to issue your final paycheck.
Your final paycheck must include all wages owed to you, including regular pay, overtime wages, unused vacation pay, and any other earned compensation. Employers are not allowed to withhold your final paycheck for any reason, including equipment returns or other deductions unless legally authorized.
A delayed final paycheck is a violation of California labor laws, and employees may be entitled to additional compensation beyond their unpaid wages. California imposes waiting time penalties on employers who fail to pay final wages on time. This penalty is equal to one day’s wages for every day the paycheck is late, up to a maximum of 30 days.
For example, if you were earning $200 per day and your employer delayed your final paycheck by 10 days, you would be entitled to $2,000 in waiting time penalties on top of your unpaid wages.
The first step in resolving a delayed paycheck is contacting your employer. Sometimes, payroll errors or administrative delays are the cause, and a simple inquiry may lead to a quick resolution. If your employer refuses to issue your final paycheck or continues delaying payment, you should document the situation.
Keep a record of your final work date, any communications with your employer regarding your paycheck, and any partial payments you may have received. Having documentation will strengthen your case if you need to escalate the matter.
If your employer still refuses to pay, you can contact an employment lawyer or the Labor Board to file a wage claim.