274 | 2023 Cal-Peculiarities ©2023 Seyfarth Shaw LLP www.seyfarth.com LC § Description Penalty 204.3 Compensatory Time Off. Employers can provide comp time off in lieu of overtime pay to nonexempt employees at same rate employees would have earned overtime pay if (1) a written agreement is in place before work is performed, (2) the employee has not accrued comp time > 240 hours, (3) the employee makes a written request for comp time in lieu of overtime, and (4) the employee is scheduled to work no less than 40 hours in a workweek. Any comp time must be paid at employee’s rate of pay at time of payment. At termination, comp time must be paid at the higher of (i) the current pay rate or (ii) the average pay rate over prior three years. Employees shall be permitted to use comp time within a “reasonable time” of a request to use it, if it does not unduly interrupt operations. Reasonable time is determined by (A) normal work schedule, (B) anticipated peak workloads based on past experience, (C) emergency requirements for staff and services, and (D) availability of qualified substitute staff. Upon request, employers shall pay overtime pay in cash in lieu of comp time off for any comp time that has accrued for at least two pay periods. LC 2699 206 Payments Where There Is a Dispute. Employers must timely pay all wages conceded to be due. Employers who dispute a portion of an employee’s claim must pay the undisputed portion. If the Labor Commissioner finds the employee’s claim valid, then the employer must pay the balance within ten days of notice of finding, or risk treble damages for willful failure to pay. LC 2699: treble damages on top of any other penalty) 206.5 Release of Unpaid Wages Void. Employers must “not require the execution of a release of a claim or right on account of wages due, or to become due, or made as an advance on wages to be earned, unless payment of those wages has been made.” Any release so executed is void. By a 2008 amendment, “execution of a release” includes requiring an employee, as a condition of being paid, to execute a statement of the hours … worked during a pay period which the employer knows to be false.” LC 2699 207 Notice of Paydays. Employers must post notices of regular time and place of payment. LC 2699 208 Payment at Separation. Employers must pay discharged employees at place of discharge. Employer must pay quitting employee at the office or agency of the employer in the county where the employee worked. LC 2699 209 Payment of Striking Employees. Employer must pay striking employee all unpaid wages on the next regular payday, and must return all employee deposits, money, or other guaranty. LC 2699 212(a) Payment by Check or Cash. Employers must pay wages in negotiable instruments (i.e., checks) or cash, and maintain sufficient funds to cover the check for at least 30 days. Coupons redeemable in goods or services are not legal payment. LC 225.5 213(d) Direct Deposit. Employers may deposit wages in a bank account of the employee’s choice with voluntary authorization, including timely termination wages. LC 2699
RkJQdWJsaXNoZXIy OTkwMTQ4