Just about every employee has deductions taken from his or her paycheck. Those might typically consist of the following:
- State and federal taxes.
- Health insurance premiums.
- Union dues.
- Pension plan deductions.
Otherwise, pursuant to the California Labor Code section 221, an employer is prohibited from collection of wages that have already been paid to an employee, especially from an employee’s next paycheck. This includes accidental wage overpayments. Section 221 clearly states that it is “unlawful for any employer to collect or receive from an employee any part of a wages theretofore paid by said employer to said employee.” Here are just a few examples of deductions that an employer cannot take from an employee’s earnings:
- Accidentally broken or damaged equipment.
- Wage overpayment from an earlier pay period.
- The cost of a uniform required by the employer.
- An accidental cash shortage.
The Impact on a Last Paycheck Following the Employee’s Departure
If an employee is terminated or leaves his or her job voluntarily, deductions are still prohibited from his or her final paycheck without the consent of the employee. A wage claim can be brought against the employer for any such final deductions. Penalties can even be imposed for an employee’s time waiting to get paid. If an employer retaliates for the filing of such a claim, that retaliation is actionable.
If you believe that unlawful deductions were made from your paycheck, contact our offices for a consultation with a knowledgeable and experienced employment law attorney from our offices.
Contact our California Labor and Employment Lawyers today.
