Is Paying Employees Late Against California Law? What Employers Must Know

How Does California Law Protect Workers From Late Paychecks?

California law provides some of the strongest protections in the country when it comes to late paychecks. Under the California Labor Code, employers are required to pay wages on time, both during regular pay periods and when employment ends. If they fail to do so, the law imposes strict penalties, including waiting time penalties, statutory fines, interest, and even attorney’s fees. These protections are designed to ensure that workers receive their earnings promptly and to discourage employers from delaying payment.

Below, we break down how these rules work, including how long an employer can delay payment, what penalties apply, and what California’s “late check” laws mean for employees.

Legal Requirements: When Must an Employer Pay? 

Under California law, an employer must pay wages according to the scheduled paydays for the work period. Wages earned from the 1st to the 15th of the month are usually paid between the 16th and 26th. Wages from the 16th to the end of the month are typically paid between the 1st and 10th of the next month.  

For final wages (when an employee quits or is terminated), the timeline tightens. Under California Labor Code § 203: 

• If an employee is fired,laid off, or terminated, the employer must pay all wages  
  on the employee’s last day. 
• If an employee quits with at least 72 hours’ notice, the final paycheck is due on the last day of work. 
• If an employee quits without 72 hours’ notice, the employer has 72 hours to pay. 

When an employer fails to meet required pay deadlines, they’re violating wage payment laws. 

How Long Can an Employer Not Pay You in California? 

This question depends on whether you still have a job, quit, or got fired. 

1. If you’re still employed and your regular paycheck is delayed, that is a violation of the pay schedule. Under Labor Code § 210 in California, employees can pursue recovery of the unpaid wages plus penalties. 
2. If you quit or were fired, and your final paycheck was late, employers can face penalties under Labor Code § 203 equal to your daily wage rate for each day your wages remain unpaid, up to a maximum of 30 days.  

In summary, an employer cannot wait indefinitely to pay an employee. If you quit without notice, they have 72 hours; if they fire you, they must pay you immediately. Once the violation occurs, the penalty clock starts ticking. 

What is the “Late Check Penalty” in California? 

When we talk about the “late check penalty” in California,” we are referring to two related but different legal provisions: 

1. Labor Code § 210: Penalties for non-payment of wages on time (for regular payments, not final wages). 
 

• For an initial violation: $100 per employee for each failure to pay. 
• For a subsequent violation or a willful/intentional violation: $200 per employee + 25% of the wages unlawfully withheld. 

2. Labor Code § 203: Waiting time penalties for failure to pay final wages when employment ends. The penalty equals one day’s wages for each day the final paycheck is late, up to a maximum of 30 days. 

So, the “late check penalty” depends on whether the late paycheck is related to regular wages or final wages, and how willful the violation is. 

Why These Laws Matter 

When wages are delayed:

• You may face financial hardship and struggle to pay your rent or bills. 
• The law gives you leverage to demand relief. 
• The penalties serve as deterrents to employers who might think delaying payment is a low-cost option. 

From an employer’s perspective: the laws are strict, and penalty exposure can add up quickly. 

Steps You Can Take if You’re Not Paid on Time 

If your employer is late paying you, here are steps you can take: 

• Keep detailed records of dates, amounts owed, periods worked, any communications about payroll. 
• If your paycheck is late, send a written notice asking for payment. Mention your rights under California wage law. 
• If you have left your job and haven't received your final paycheck on time, you can claim a waiting time penalty, under § 203. 
• Consider speaking with an employment lawyer if the employer is unresponsive or the amounts are large. They can advise on your eligibility and how to proceed. 
• File a wage claim with the California Division of Labor Standards Enforcement (DLSE). 

Practical Caution Points 

• If there’s a genuine, reasonable disagreement about how much an employee is owed, this “good-faith dispute” can sometimes protect an employer from waiting time penalties. 
• Statute of limitations: In California, claims for unpaid wages usually have a three-year limit. Waiting time penalties may have different limits based on the situation. 
• California wage laws protect employees regardless of immigration status. 

In conclusion, California law generally prohibits late wage payments. The rules and consequences depend on whether the delay involves regular or final wages and the employer’s intent. 

If you’re dealing with unpaid or delayed wages, consider speaking with an unpaid wages attorney to understand your rights and learn the best steps to recover what you’re owed. 

Note: The above article does not constitute legal advice.

Frequently Asked Questions

1. Is it illegal for my employer to pay me late in California?
Yes. California’s Labor Code requires employers to pay all wages on time, both during regular pay periods and when employment ends. Late payment is a violation and can trigger penalties, unpaid wage recovery, and interest.

2. How long can an employer delay my paycheck before it becomes a violation?
If you’re still employed, any delay beyond your scheduled payday is a violation. If you quit or are fired, the deadlines are stricter: final pay is due immediately upon termination or within 72 hours if you quit without notice.

3. What penalties can a California employer face for paying late?
For regular late payments, Labor Code § 210 imposes statutory fines. For late final paychecks, Labor Code § 203 imposes waiting time penalties equal to one day’s wages for each day the check is late, up to 30 days.

4. What if my employer says they’re still “calculating” my wages. Does that count as a delay?
Typically, yes. Employers must pay wages on time even if they are still resolving internal issues. The only exception is a good-faith dispute, a legitimate disagreement about the amount owed, which may limit penalties but does not erase the underlying wage obligation.

5. Can I file a claim if I’m undocumented or on a work visa in California?
Yes. California wage laws protect all workers regardless of immigration status. Employers cannot retaliate or use your status against you for asserting your wage rights.

6. What should I do if my paycheck is late or my final wages weren’t paid?
Document everything, send written notice requesting payment, and consider filing a claim with the California Division of Labor Standards Enforcement (DLSE). An employment attorney can help evaluate penalties and strengthen your claim.

7. How much time do I have to file a claim for late or unpaid wages in California?
Most unpaid wage claims in California have a three-year statute of limitations, though waiting time penalties and related claims may have different timelines. It’s best to act quickly to preserve your rights.