Another issue facing California employers who terminate an employee is the timing of the final paycheck.  If the employer terminates the employee, the employee must be paid the final paycheck on the last day of employment.  The employer cannot wait for the regular payroll cycle to come to an end before paying the terminated employee.  If the employer uses a payroll service to process its payroll, the employer should call the service and obtain a withholding breakdown so that the employer can write a manual check on the termination date and provide the employee with a payroll advice showing all of the withholdings from the gross pay.  If the employee resigns with 72 hours notice or more, then the employer must also pay the employee his or her final paycheck on the last day of work.  If the employee resigns with less than 72 hours notice, the employer must pay the employee the final paycheck within 72 hours (clock hours, not business hours) after receiving notice of resignation.  If the employer is late in the final payment, there is a potential that the employer will owe the employee “waiting time penalties” under Labor Code section 203 (if the delay was “willful”).  Waiting time penalties equal one day’s pay for every day the final paycheck is late, up to a maximum of 30 days.  The California Supreme Court recently ruled (in the case of Pineda v. Bank of America) that the statute of limitations for section 203 waiting time penalties is 3 years.  –Adam K. Treiger