What Should You Do if Your Employer Does Not Pay You on Time in California?

As an employee, receiving your paycheck on time isn’t just a matter of routine; it is your legal right. A late paycheck could mean being late on rent, car payments, and other expenses. Under California law, employers are mandated to pay employees their wages on time, and failing to do so can result in fines. Understanding your rights and the steps you can take when your employer doesn’t pay you on time is crucial. In this blog, we’ll discuss California’s wage payment laws, what constitutes a late payment, the penalties employers may face, and the actions you can take to recover your earnings.

When Does a Payment Become “Late”?

Payment becomes late when an employer fails to honor an established pay schedule. Under California Labor Code Section 204, employers must pay wages on regular, pre-established paydays. To break it down, it means that:

  • If you are paid semi-monthly, wages for work done between the 1st and 15th of the month must be paid by the 16th to 26th. Wages for work done between the 16th and the end of the month must be paid between the 1st and 10th of the following month.
  • For weekly or biweekly pay schedules, wages must be paid no later than seven days after the end of the pay period.

However, there are some exceptions to these payday rules where certain employees may have different pay schedules. For example, executive, administrative, or professional employees may be paid once a month. Their paychecks must be issued by the 26th day of the month and include the full salary, including unearned wages for the remaining days of the month. The same may apply to union employees whose payday schedules are governed by the terms of their contracts.

What About Overtime Pay?

Overtime wages follow slightly different rules. Legally, overtime wages should appear itemized no later than the payday for the next regular payroll period.

Penalties for Late Payments

Employers who violate the law on missing payment deadlines may owe various penalties as outlined under California Labor Code Section 210. For the first violation (non-willful), the penalty for delayed or failure to pay wages is $100 for each affected employee per pay period. For subsequent or willful violations, the penalty is $200 per employee per pay period plus 25% of the unpaid or late wages. 

Steps to Take if You are Not Paid on Time

If your employer fails to pay you on the legally mandated or scheduled paydays, you may take the following steps:

  • Submit a Written Notice

Start by notifying your employer in writing about the missed payment. Clearly request your wages and keep a copy of your notice for your records.

  • File a Claim With the California Labor Commissioner

If your employer fails to act, you can file a wage claim with the California Labor Commissioner. The Labor Commissioner can help recover your unpaid wages and assess penalties against the employer. 

  • Seek Legal Advice

If late payments are causing financial hardship, consult an employment attorney. A lawyer can help you understand your rights, gather evidence, and determine the best course of action.

  • File a Lawsuit

In cases of repeated or intentional wage violations, you may need to file a lawsuit. Working with an experienced attorney may increase your chances of success.

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