California Payroll Law
The Department of Labor requires employers to keep payroll records of its employees. Record requirements include an employer's duty to keep pay records, when the pay period starts and ends, weekly normal and overtime earnings and deductions of paycheck wages. Employers must also maintain personal records of each employee's personal information including addresses, full names dates of birth and Social Security numbers. Employers must maintain these records for three years.
Other People Are Reading
-
California Law
-
California employers must comply with the U.S. Department of Labor's federal payroll laws and with its state labor laws. California employers must not only maintain these specific types of records as required by federal law but must also provide an opportunity for its employees to request payroll records for review. Once a California employee requests its payroll records to copy or review them, the employer must provide the employee with the records within a 21-day period. Employers are subject to stiff fines for failing to provide the employment records upon an employee's request. Employees are entitled to collect a $750 fine for the employer's failure to produce the records.
Time Cards
-
Federal law and California state law requires using time cards, time clocks or time sheets to record daily work hours. Employers may use any method of payroll recording so long as the employer maintains accurate payroll records. Employers may round time to the nearest five-minute interval or round to the nearest quarter hour so long as employers adequately compensate employees during their pay periods for all hours worked.
-
Paydays
-
California employers must pay its employees at least twice every month. Employers must post a notice in visible workplace area-notifying employees of the employer's payday rules. The employer's notice must include the time and day of payment and payment location. Employers must pay for all hours an employee works during the first and 15th day of each month by the 26th of that month. For compensation earned between the 16th day and last day of the month, employers must pay their employees compensation for this period by the following 10th of the next month. Employers who do not use the bi-monthly pay periods to pay employees must pay employees all compensation within seven days of the last day of the pay period.
Last Paycheck
-
Employers who fire or lay off their employees must pay employees for all accrued vacation leave compensation, if the employer provides it, and all overtime and non-overtime wages by the last day of employment or immediately following the termination. Employees who voluntarily terminate employment with at least 72 hours of prior notice must be paid on the last day of employment. Employees who do not provide 72 hours of notice must be paid within 72 hours of termination. Employers who do not comply with California's paycheck laws may be assessed a waiting time fine for each additional day the employer withholds the employee's paycheck.
-
References
- Photo Credit file image by Jan Will from Fotolia.com
