Labor Code Summaries

Thank you for using this brief summary of the California Labor Code Sections 201 through 233. (This summary comes primarily from the California Labor Code, Division 2, Employment Regulation and Supervision). From past experiences, our clients have had the most problems with employers violating these provisions. Of course, make sure you check to see if there are any updates to the code. You can find updates at the Division of Labor Standards Enforcement's webpage.

Below, you can also see the abbreviated text of a pamphlet published by the Labor Commissioner that maps out the claim process. (skip to the pamphlet text below).

• §201: If an employer discharges an employee, the wages due and unpaid at the time of discharge are due and payable immediately. This includes unused vacation time and sick days.

• §202: If an employee who does not have a contract quits, the employer should pay the employee within a 72 hour time period, unless the employee has given the employer a 72 hour notice period, then the wages become payable immediately.

• §203: If an employer willfully fails to pay an employee any wages that are owed once an employee has quit or has been terminated, then the wages continue as a penalty from the due date (at the same rate) until the wages are paid. This can continue for up to 30 days.

• § 203.1 : If an employee in the construction industries (domestic workers might be covered if we stretch this or if they are multi-tasking) is paid with a check that has no funds, they can continue getting their same wages for up to 30 days.

• §204: Wages should be paid at least twice a month (there are exceptions for executive, proffessional, and administrative employees and for any employees covered under a collective bargaining agreement). This requirement can be satisfied if an employee is paid more frequently, such as once a week.

• §212: Payment should be in check, money order, or some other form of currency. Vouchers for food, merchandise, etc. are not acceptable forms of payment.

• §213: Denying that you owe a current or former employee money or refusing to pay them is a misdeamenor.

• §222.5: An employer cannot charge an employee for any sort of medical or physical examination that is a prerequisite for work.

• §223 : It is illegal to pay a lower wage than the minimum wage or a wage (even if it was established by a contract) that is below the minimum wage.

• §226: All employers are required to give their employees an itemized statement showing wages, hours worked, and any deductions made.

• §226.7: An employer cannot make an employee work during meal or break periods, if they do, the employees recieve one extra hour of pay per day , at the same rate, for every meal or break period that they missed.

• §230: An employer cannot retaliate against an employee who takes time off from work to seek relief from domestic violence or sexual assault (for example, taking time off to get a restraining order).

• §232 : An employer cannot require an employee to refrain from disclosing their rate of pay.

• §233 : An employer cannot require an employee to refrain from disclosing the working conditions of their place of work.

  If any of these Labor Code Sections have been violated you can begin the process of filing a claim with the Labor Commissioner by clicking here. The process, while a bit time consuming is actually straightforward. First, you file a complaint which can be found here . After that, you will be called in for a conference and eventually a hearing, where you can present your case and get a decision from the Labor Commissioner.

  Below are notes from the text of a Labor Commissioner Pamphlet that describes the procedure that a claim with the Labor Commissioner takes :

  SUMMARY OF THE PROCEDURES

  The Labor Commissioner has no jurisdiction over independent contractors and has only limited jurisdiction over employees of public agencies (for example, federal, state, county or municipal employees). Also, the Labor Commissioner, in some cases, does not have jurisdiction over the wage claims of union members working under collective bargaining agreements.

  The Labor Commissioner's procedures for investigating wage complaints, may include either a conference pursuant to Section 98.3 or a hearing pursuant to Section 98(a), or both.

  FILING THE COMPLAINT

  An employee (plaintiff) alleging the non-payment of wages, must file a claim with their local Labor Commissioner to begin an investigation of the claim by the Labor Commissioner. The statute of limitations on claims is either two (2), three (3) or four (4) years from the date of the alleged non-payment, depending on the underlying employment agreement or the type of claim. Plaintiffs are advised to file a claim as soon as possible.

  When filing the claim, the plaintiff should provide as much information and documentation as possible, including the legal name and location of the defendant.

  After the claim is assigned to a Deputy Labor Commissioner (deputy), he or she will determine, based on the circumstances of the claim, how best to proceed. Within thirty (30) days of the filing of the complaint, the deputy shall notify the parties as to the specific action which will initially be taken regarding the claim:
  1. referral to a conference
  2. referral to a hearing
  3. dismissal of the claim

  THE CONFERENCE

  If the decision has been made by the deputy to hold a conference, a Notice of Claim Filed and Conference will be sent to both parties which will describe the claim, provide the date, time and place of the conference, and will direct the parties that they are expected to attend. The purpose of the conference is to determine if the claim can be resolved without a hearing.

  Both parties should bring any evidence or substantiation to support their positions. However, the parties will not be under oath and the conference will be conducted informally.

  If the defendant fails to appear at the conference, in most cases, the claim will be scheduled for a hearing. If the plaintiff fails to appear, except for good cause shown, the claim will be dismissed.

  If the case is not resolved at the conference, the deputy will determine the appropriate action with regard to the claim, usually referral to a hearing or dismissal.

  THE HEARING

  If a hearing is scheduled (either after the claim is filed or after a conference), the parties will receive, either by mail or by personal service, a Notice of Hearing which will set the date, time and place of the hearing.

  Although hearings are conducted in an informal setting, they are formal proceedings, as opposed to the conference. At the hearing the parties and witnesses testify under oath, and the proceedings are recorded.

  Each party has the following basic rights at the hearing:
  1. To be represented by an attorney or other party of his or her choosing.
  2. To present evidence.
  3. To testify in his or her own behalf.
  4. To have his or her own witnesses testify.
  5. To cross-examine the opposing party and witnesses.
  6. To explain evidence offered in support of his or her position and to rebut evidence offered in opposition.
  7. To have a translator present, if necessary.
  

  The hearing officer has sole authority and discretion for the conduct of the hearing and may:
  1. Explain the issues and the meaning of terms not understood by the parties.
  2. Set forth the order in which persons will testify, cross-examine and give rebuttal.
  3. Assist parties in the cross-examination of the opposing party and witnesses.
  4. Question parties and witnesses to obtain necessary facts.
  5. Accept and consider testimony and documents offered by the parties or witnesses.
  6. Take official notice of well-established matters of common knowledge and/or public records.
  7. Ascertain whether there are stipulations by the parties that may be entered into the record.
  

  You should bring all documents that will support your position .

  If you wish witnesses to testify, you may arrange for the witnesses to attend voluntarily or you may request issuance of a personal subpoena to compel their attendance.

  Changes in the date, time or place of the hearing will not be granted except upon the showing of extraordinary circumstances. The decision to grant such a request is within the sole discretion of the hearing officer.

  If the plaintiff fails to attend the hearing, the case will be dismissed.

  If the defendant is served with a notice of hearing and fails to attend the hearing, the hearing officer will decide the matter on the evidence he or she receives from the plaintiff.

  The hearing officer is not bound by formal rules of evidence and therefore, has wide discretion in accepting evidence. He or she also has discretion in deciding whether the assessment of penalties is appropriate in a particular case.

  Within fifteen (15) days after the hearing, the Order, Decision or Award (ODA) of the Labor Commissioner will be filed in the DLSE office and served on the parties shortly thereafter.

  APPEAL TO CIVIL COURT

  Either party, or both, pursuant to Labor Code Section 98.2, may appeal.