If you’re leaving your job in Los Angeles, either by quitting or being fired, it’s important to know your rights around your final paycheck. California law has strict rules to make sure employees receive all wages owed promptly. These rules cover timing, payment methods, penalties for late pay, and special circumstances for certain industries. Understanding your rights can help ensure you receive every dollar you earned.
When You Are Fired or Laid Off
If your employer ends your job, Labor Code Section 201 requires them to pay your final wages immediately. “Immediate” means the same day you are terminated. Even one day of delay can violate the law.
If your employer does not pay on time, they may owe a waiting-time penalty. This penalty is calculated as a full day’s wages for each day your paycheck is late, up to a maximum of 30 days. For example, if you normally earn $25 per hour for an 8-hour workday, the penalty could total up to $6,000. Waiting-time penalties are meant to encourage employers to pay earned wages without delay.
Certain industries, like oil drilling and motion picture work, have special rules. Oil-drilling employees who are terminated must receive their pay within 24 hours, excluding weekends and holidays. Motion picture employees often receive their final wages by the next regular payday, though collective bargaining agreements can specify other timelines.
When You Quit
If you quit your job, the timing of your final paycheck depends on notice.
- If you quit without giving 72 hours’ notice, your employer must pay your wages within 72 hours of your departure.
- If you give at least 72 hours’ notice, your employer must pay you on your last day.
Labor Code Section 202 establishes these rules, and Section 203 outlines penalties for employers who fail to pay on time. Waiting-time penalties apply here as well, giving you leverage if your employer delays your paycheck.
Notice by Email or Written Communication
If you resign via email or written notice, the 72-hour clock generally begins when your employer receives and can act on your notice, not when you send it. Courts have held that notices sent after business hours do not start the clock until the next business day.
Delivery of Final Paycheck
Employers must provide the final paycheck at the workplace where the employee performed labor. If the employee requests payment by mail, the employer must mail it to the provided address. Payment is considered complete on the date of mailing, not when the employee receives the check.
What Your Final Paycheck Includes
Your final paycheck must cover all earned wages up to your last day. This includes:
- Hourly or salaried wages
- Overtime pay earned but not yet paid
- Earned vacation pay
Paid sick leave does not have to be included unless company policy or contract requires it. Deductions for taxes, Social Security, and other legally authorized items are allowed. However, employers cannot deduct for unreturned property, training costs, or employee debts. If property is missing, employers must pursue other legal avenues.
Direct Deposit and Final Paychecks
Employers can pay final wages via direct deposit only if the employee has authorized it. Previous authorization for regular pay does not automatically cover final wages. Employees must consent again for the final paycheck to be deposited. This ensures employees receive wages in a manner they approve.
Penalties for Late Final Paychecks
California law enforces strict penalties for late wages. Waiting-time penalties under Labor Code Section 203 can be up to 30 days of pay, including nonworkdays.
- Penalties accrue daily from the date the paycheck was due.
- Part-time and full-time employees accrue penalties the same way.
- Missed meal and rest break premiums are considered wages and may also trigger penalties.
For example, if a full-time employee earning $25 per hour waits two weeks for their final wages, they could recover the unpaid wages plus $2,800 in waiting-time penalties. Employees may also recover attorney’s fees when enforcing these rights.
Employer Defenses
Employers may avoid penalties if:
- The employee refuses payment
- There is a good-faith dispute about the amount owed
- The delay was not willful
Good-faith disputes include situations where the law is unclear or unsettled. Even if a defense is unsuccessful, it can prevent the employer from being liable for waiting-time penalties.
Industry-Specific Rules
Some employees have unique final paycheck rules based on their industry or employment agreement:
- Seasonal agricultural workers: Must be paid within 72 hours of layoffs or by mail if requested.
- Motion picture employees: Paid by the next regular payday, either at the workplace or by mail. Collective bargaining agreements can allow up to seven days after payroll closes.
- Print shoot employees: Paid by the next regular payday.
- Oil-drilling employees: Paid within 24 hours, excluding weekends and holidays.
- Events employees: Paid by the next regular payday; termination rules follow standard California law.
- Live-event venue employees: Final paycheck rules can be determined by collective bargaining agreements.
Regular Paydays and Overtime
Regular payroll schedules apply in California. Wages for work performed between the 1st and 15th of a month are due by the 26th. Work from the 16th to the end of the month must be paid by the 10th of the following month. Overtime is calculated at 1.5 times the regular rate for hours over eight per day or forty per week, and double time for hours beyond twelve in a day or seven consecutive days.
Filing a Claim
Employees who do not receive timely final pay may file a claim with the California Labor Commissioner or file a civil lawsuit. The statute of limitations for unpaid wages and waiting-time penalties is three years.
Get Legal Help With Hinden & Breslavsky
California law ensures that employees receive their final paycheck quickly and fairly. Whether you quit, are fired, or work in a special industry, your wages are protected. If your employer fails to comply, waiting-time penalties and legal action are available to help recover what you are owed.
If you are having trouble getting your final paycheck in Los Angeles, call Hinden & Breslavsky at (323) 954-1800 for a free evaluation. Experienced workers’ compensation and wage attorneys can help you claim your earned wages and protect your rights. Don’t wait—your paycheck is your money, and the law is on your side.