On December 28, 2022, the California Third Appellate District in Parsons v. Estenson Logistics, LLC, addressed the timely payment of wages under California law.
Labor Code section 204, subdivision (d), provides that wages for employees who are paid weekly are deemed timely if paid “not more than seven calendar days following the close of the payroll period.” The question before the Court in Parsons was “what happens if the seventh calendar day falls on a Saturday?” 3
The Plaintiff employee Parsons argued the wages must be paid on that Saturday. The Defendant employer Estenson argued the wages may be paid the following Monday, because Code of Civil Procedure section 12a provides that weekends are holidays, and further provides, “If the last day for the performance of any act provided or required by law to be performed within a specified period of time is a holiday, then that period is hereby extended to and including the next day that is not a holiday.”
The trial court agreed with Estenson and granted summary judgment in its favor on a wage and hour claim brought by Parsons. The Court of Appeals affirmed.
If you pay weekly wages and the seventh day after the close of the payment period falls on a Saturday, payment need not be made until Monday. However, check with your business attorney as this is one decision by an Appellate Court that may be challenged in other Appellate jurisdictions by employee rights groups.
The information presented is not intended to be, and does not constitute, “legal advice.” Because each situation varies, and only brief summary information is provided here, you should not use this information as a basis for action unless you have independently verified with your own counsel that it applies to your particular situation.
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