Accurate Records and Pay Stubs
Pay close attention to your next wage statement—California law requires employers to maintain accurate records and provide specific information on each pay stub. Accurate pay stubs are an important resource for employees. A complete pay stub allows an employee to make sure that his employer has provided proper compensation. In California, failure to provide the requisite information on a pay stub is no mere clerical error; it is against the law.
California Wage Statement Law
Each pay period, the California Labor Code requires employers to provide employees with a pay stub. The pay stub must include nine specific items:
- Gross wages earned;
- Total hours worked, (excluding salaried employees who are not eligible to earn overtime pay);
- If the employee is paid on a piece-rate basis, the number of piece-rate units earned and the applicable piece-rate;
- All deductions;
- Net wages earned;
- Dates for which the employee is paid;
- Identifying information including:
- The employee’s name and only the last four digits of the employee’s social security number; or,
- An employee identification number;
- Employer’s name and address;
- All applicable hourly rate during the pay period and the number of hours the worked by the employee.
These items are all required–a statement only complies with the law if it includes each of these nine items.
If an employer fails to provide the required information on a pay stub, California law presumes that the omission caused the employee harm. The employer then has to prove that the employee was not injured by the mistake.
Penalties for Failure to Provide Proper Information
Failure to provide proper information on a pay stub is no small matter. Employers that fail to provide the necessary information face steep penalties. If an employee brings a claim on his or her behalf, he or she can recover up to $4000 in penalties. If an employee brings a class action claim on behalf of other employees, the class can recover much more.
Impacts of Incomplete Information
The information included on a pay stub is very important for employees. Proper and accurate pay stubs allow employees to ensure that their employers provide appropriate compensation. An employee who, for example, suspects that his employer has failed to pay proper overtime, would be unable to prove the claim if the employer issued deficient pay stubs. For these reasons, proper pay stubs are quite important and employees have every right to seek an accurate statement.
A California Labor and Employment Lawyer can Help
If you believe that your employer is not providing proper pay stubs, then you may be entitled to compensation. A skilled attorney can review your case and help you get proper compensation. The knowledgeable labor and employment attorneys at Nassiri Law Group, practicing in Orange County, Los Angeles, and Riverside can help. Call today for a free case consultation at (949) 375-4734.