Legal Question in Employment Law in California
last paycheck
If an hourly employee gives 2 weeks notice, is it mandatory to give them their last paycheck 72 hours after their last day worked? Is it OK to just mail it to them at the end of the pay period?(plus they are set up for direct deposit)
1 Answer from Attorneys
Re: last paycheck
The law requires an employer to pay all wages due at the time of discharge if the employer initiates the termination. The logic behind this rule is that the employer has control of both the timing of the termination and the timing of creating the final paycheck.
If the employee quits or resigns, however, the the employer has 72 hours to provide the final paycheck. The logic here is that the employer should have a reasonable amount of time to prepare the final check if an employee quits abruptly.
However, where the employee gives notice of more than 72 hours, the employer is required to process and have available the employee's final paycheck on their last day of work. Based upon your hypothetical, the employer would be required to give them the final paycheck on their last day, NOT 72 hours later, and NOT at the end of the pay period.