The date that an ex-employee’s final paycheck comes due depends on whether the employee quit with or without notice, or was laid off/fired. This distinction is important because a California employer can be subject to civil liability for failing to pay an ex-employee on time.

All in all, delaying payment to an ex-employee beyond the legal deadline is treading on dangerous ground no matter what the reason for it, because California labor law has historically been very employee-friendly. 

When’s It Due? The Various Circumstances

The following is a summary of the due dates for an employee’s last paycheck, based on the circumstances of his termination of employment:

If the employee was fired or laid off

If the employer either fires the employee (with or without cause) or lays him off, the employee’s paycheck is due on his last day of work.

If the employee quits without notice

If the employee quit without notice, the final paycheck is due within 72 hours of the employee’s last day of work.

If the employee quits with at least three days’ notice

As long as the employee gives the employer at least three days’ notice of his departure, the employer must provide the final paycheck to the employee by his last day of work.

Related Matters

●       The final paycheck must be up-to-date; it must include all hours worked that have not yet been paid, right up to the employee’s last day of work. The paycheck must include all overtime, double time and unused vacation time. It does not have to include any unused sick leave unless the employer and the employee have previously agreed otherwise.

●       You cannot force an ex-employee to wait until your next regular payday to receive his check. In other words, in most cases, he is entitled to his paycheck faster if he quits or gets fired than he would be if he continued working.

●       You cannot force an ex-employee to come to you to receive his paycheck. If he demands that it be mailed to him, you must mail it.

●       The paycheck must be “no strings attached.” You cannot even require an ex-employee to turn in his keys in exchange for his last paycheck. You certainly have the right to demand your key back, you just can’t use the last paycheck as leverage.

Enforcement – What Happens If You Don’t Pay on Time

If you fail to pay your ex-employee’s last paycheck on time, you will include civil liability that will increase each day of delay until the statutory maximum is reached – 30 times his average daily pay (about six weeks worth of salary for most people). The employee can also file a labor board complaint against you, which could result in additional penalties.

Get in Touch With Us Today

If you have questions about employee payroll, it is better to get them answered now than to wait for a problem to arise. Contact CKB Vienna today by calling or visiting one of our offices in Rancho Cucamonga, Riverside, and Los Angeles. Otherwise, simply contact us online.