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Employment

326 questions
1. An employee works 10 hours on Monday. Under California law, how many overtime hours must be paid?
a.No overtime; only the 40-hour week counts
b.One hour at 1.5x the regular rate
c.Two hours at double the regular rate
d.Two hours at 1.5x the regular rate✓

Labor Code §510(a) pays 1.5x for hours over eight in a workday, so a 10-hour Monday earns two overtime hours at time and a half. The 'no overtime' answer applies the federal FLSA rule, which counts only hours over 40 in a week — California's daily line is the stricter one and it controls here. One hour would be right only if the daily threshold were nine. Double time does apply in California, but not until hours over 12 in a workday, and this employee stopped at 10.

Labor Code §510(a)
2. An employee works 13 hours in one day. Under California law, how is the pay structured?
a.All 13 hours at straight time, with no premium at all
b.First 8 at straight time and the other 5 at 1.5×
c.First 8 at straight time, next 4 at 1.5×, last 1 at 2×✓
d.First 8 at straight time and the other 5 at 2× rate

Labor Code §510(a) pays work beyond eight hours in a workday at no less than 1.5× the regular rate, and work beyond twelve hours in the day at no less than twice the regular rate. Thirteen hours therefore splits three ways: 8 at straight time, hours 9 through 12 at 1.5×, and the thirteenth hour at 2×. Paying all 13 straight applies the federal approach, which counts only hours past 40 in a week and has no daily overtime. Running all five extra hours at 1.5× ignores the double-time trigger at twelve hours, and running all five at 2× starts double time four hours too early.

Labor Code §510(a)
3. What is the maximum number of hours an employee can work in a week before weekly overtime applies in California?
a.35 hours
b.40 hours✓
c.44 hours
d.48 hours

California requires overtime pay (1.5×) for all hours worked beyond 40 in a workweek. This applies regardless of whether daily overtime has also been triggered.

Labor Code §510
4. An employee works all 7 days of a workweek. Under California law, overtime on the 7th consecutive day is:
a.Straight time, since the workweek premium already applied
b.1.5× for the first 8 hours and 2× after 8 hours✓
c.2× for all hours worked on that seventh day
d.1.5× for all hours, with no double time at all

Labor Code §510(a) pays one and one-half times the regular rate for the first eight hours worked on the seventh consecutive day of a workweek, and double time for hours beyond eight that day. Straight time ignores the seventh-day premium altogether. Double time from the first hour is the rule for hours beyond 12 in a single workday, not for the seventh day's first eight hours. And time-and-a-half all day drops the double-time step §510 adds after the eighth hour.

Labor Code §510(a)
5. When must a 30-minute meal break be provided to an employee?
a.After 5 hours of work✓
b.After 4 hours of work
c.After 6 hours of work
d.After 8 hours of work

Employers must provide a 30-minute unpaid meal period no later than the end of an employee's fifth hour of work. The break can be waived by mutual agreement if the shift is 6 hours or less.

Labor Code §512
6. How many paid rest breaks is an employee entitled to for an 8-hour shift?
a.One 10-minute break
b.Two 10-minute breaks✓
c.One 15-minute break
d.Two 15-minute breaks

California requires one paid 10-minute rest period for every four hours worked (or major fraction thereof). An 8-hour shift triggers two 10-minute paid rest breaks.

IWC Wage Orders
7. A construction employee quits without giving notice. When must the employer provide the final paycheck?
a.Immediately
b.Within 24 hours
c.Within 72 hours✓
d.By the next regular payday

When an employee quits without at least 72-hour advance notice, the employer has 72 hours to provide the final paycheck. If the employee gave 72+ hours notice, pay is due on the last day of work.

Labor Code §202
8. If a contractor discharges (fires) an employee, when must final wages be paid?
a.Within 24 hours, excluding weekends and holidays
b.Immediately, at the place and time of discharge✓
c.Within 72 hours after the date of discharge
d.On the next regular payday after the discharge

Labor Code §201(a) makes wages earned and unpaid due and payable immediately when the employer discharges an employee, and §208 fixes the place as the place of discharge. The 72-hour deadline belongs to §202, which covers an employee who quits without notice. The 24-hour rule, weekends and holidays excluded, is the narrow §201.7 exception for oil-drilling layoffs. The next regular payday is the ordinary §204 rule for wages during employment; it never governs a discharge.

Labor Code §201(a); §202; §201.7; §208
9. How long does an employer have to report a new hire to California's Employment Development Department (EDD)?
a.7 days
b.20 days✓
c.30 days
d.60 days

California employers must report all new employees to the EDD within 20 days of their start date. This supports child support enforcement and fraud detection.

Unemployment Insurance Code §1088.5
10. What is the "ABC test" used to determine in California?
a.Whether a subcontractor holds the proper CSLB license
b.Whether prevailing wage applies to a public project
c.Whether a worker is an employee or contractor✓
d.Whether a project requires a city building permit

California uses the ABC test to decide worker classification (c). A worker is presumed an employee unless the hiring entity proves all three prongs: (A) free from control, (B) work outside the hiring entity's usual course of business, and (C) customarily engaged in an independently established trade. AB 5 first codified this at Labor Code §2750.3, but AB 2257 repealed that section in 2020 and recodified the test at §2775, with the construction-subcontractor route out of it at §2781. (a) licensing is a separate question under B&P §7000 et seq., (b) prevailing wage turns on Labor Code §1720 and §1771, and (d) permits are a building-code matter.

Labor Code §2775

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11. Prevailing wage rates on California public works projects are determined by:
a.The California Department of Industrial Relations✓
b.The awarding public agency for each project
c.The U.S. Department of Labor under Davis-Bacon
d.The local building trades master agreement

Labor Code §1773 has the Director of the Department of Industrial Relations determine the general prevailing rate of per diem wages by craft and locality. The awarding public agency is the most tempting wrong answer because §1773.2 makes it obtain those rates from DIR and specify them in the call for bids - it publishes them but does not set them. Davis-Bacon rates are determined by the U.S. Department of Labor and govern federally funded work, not California's own prevailing wage law. DIR looks to collective bargaining agreements as evidence of the prevailing rate, but a local master agreement is not itself the determination.

Labor Code §1773; §1773.2
12. Which of the following is NOT a required item on a California itemized wage statement?
a.Total hours worked by the employee in the pay period
b.Gross wages earned during the pay period, before deductions
c.Name and address of the legal entity that employs the worker
d.The employee's full nine-digit Social Security Number✓

Labor Code §226(a) lists what an itemized wage statement must show: gross wages earned, total hours worked, deductions, net wages, the inclusive dates of the pay period, applicable hourly rates, and the name and address of the legal entity that is the employer. Section 226(a)(7) is explicit that the statement carries only the last four digits of the social security number, or an employee identification number instead — which is why the full nine-digit number is the item that does not belong. The other three are required entries, not optional ones.

Labor Code §226(a), §226(a)(7)
13. A contractor wants to deduct the cost of a broken tool from an employee's paycheck. This is:
a.Illegal; employers cannot deduct for business losses from wages✓
b.Allowed if the employee signed a deduction authorization
c.Illegal unless the employee is found negligent in a court proceeding
d.Allowed for losses due to ordinary business risk

California prohibits employers from deducting ordinary business losses (breakage, shortages, faulty work) from employee wages. Employers bear the risk of business operations.

Labor Code §221
14. Labor Code §1771 requires prevailing wages on public works, but excepts projects at or below a stated contract amount. At or below what amount is a public works project excepted?
a.$500
b.$1,000✓
c.$15,000
d.$25,000

Section 1771 requires the general prevailing rate of per diem wages on all public works, 'except for public works projects of one thousand dollars ($1,000) or less' (b). The exception is written at the line, so a contract of exactly $1,000 falls inside it and a contract of $1,000.01 does not. (a) $500 is not a figure in §1771. (c) $15,000 and (d) $25,000 are real numbers borrowed from a different rule: under §1771.5(a) an awarding body running a labor compliance program approved by the Director of Industrial Relations may choose not to require prevailing wage on alteration, demolition, repair or maintenance of $15,000 or less, or construction of $25,000 or less. The same pair separately governs DIR registration under §1771.1(n).

Labor Code §1771
15. To bid on a California public works project, a contractor must be registered with:
a.The State Contractors License Board (CSLB)
b.The Department of Industrial Relations (DIR)✓
c.The Employment Development Department (EDD)
d.The city or county where the work is done

Labor Code §1725.5 requires a contractor to register with the Department of Industrial Relations, and §1771.1(a) makes an unregistered contractor ineligible to bid on or be listed in a bid for public work. The CSLB licence is separate and does not substitute for that registration. EDD handles payroll tax and unemployment accounts, not public-works registration, and no city or county registration takes the place of DIR's. Registration is not required for a public works project of $25,000 or less for construction, alteration, demolition, installation or repair work, or of $15,000 or less for maintenance work (§1771.1(n)).

Labor Code §1725.5; §1771.1(a), (n)
16. What notice must a California employer post in the workplace?
a.The Cal/OSHA poster alone, posted in the site office
b.The Safety Data Sheets for the materials in use
c.The workers compensation notice by itself
d.The Cal/OSHA poster and the other required notices✓

Labor Code §6328 requires the Cal/OSHA safety and health poster where employees can see it, and it is one of a set: the minimum wage order, the paid sick leave notice, the workers' compensation carrier notice under §3550, the payday notice under §207 and the emergency contact notice all go up alongside it. Posting the Cal/OSHA poster by itself, or the workers' compensation notice by itself, each leaves the rest of that set unposted. Safety Data Sheets are a different duty: the hazard communication standard requires them to be accessible to employees, not posted on a wall.

Labor Code §6328; §3550; §207
17. Under California law, construction industry employers must pay employees at least:
a.Once every week, on a day designated in advance
b.Once every calendar month, on a set date
c.Every two weeks, and never semimonthly
d.Twice a calendar month, or every two weeks✓

Labor Code §204 makes wages due twice during each calendar month on days designated in advance, and it treats a weekly, biweekly or semimonthly payroll as satisfying that rule when wages are paid within seven calendar days of the close of the payroll period - so twice a month, or every two weeks, is the floor for a construction crew. Paying weekly is lawful but more than §204 demands, so it is not the minimum the law sets. Once a month is lawful only for exempt executive, administrative and professional employees. And nothing confines a construction employer to a two-week cycle: a semimonthly payroll complies just as well.

Labor Code §204; §204(d)
18. An employer may require employees to wear a uniform. Who pays for the uniform?
a.Always the employee, whatever it is
b.Always the employer, whatever it is
c.The employee, if it works as street wear
d.The employer, where it is required✓

Wage Order 16 §9(A) makes the employer provide and maintain any uniform it requires, and Labor Code §2802(a) independently requires reimbursement of the cost, so the trigger is simply whether the employer requires the item. (c) is the real distinction stated backwards: the DLSE treats ordinary basic wardrobe of a generic color and design - plain blue jeans, a plain white shirt - as the worker's own expense, but that is because such clothing is not a uniform, not because street-wearability shifts the cost of one. (a) ignores §2802 altogether. (b) reaches the right result here by the wrong route, and would make the employer pay for clothing it never specified. Requiring a deposit or a payroll deduction for a uniform is an unlawful deduction under Labor Code §221.

IWC Wage Order 16-2001, §9(A); Labor Code §2802(a); DLSE Enforcement Policies §45.5
19. A contractor's employee is injured on the job. The employee's medical expenses under workers' compensation are paid by:
a.The employee's personal health insurance first
b.Split equally between employer and employee
c.Only if the employee can prove employer negligence
d.The contractor's workers' compensation insurance✓

Workers' compensation is a no-fault system. The employer's WC insurance pays all reasonable and necessary medical expenses for work-related injuries, regardless of who was at fault.

Labor Code §3600
20. Which document must every California employer provide to new employees at time of hire?
a.A written Wage Theft Prevention Act notice, at hire✓
b.A copy of the employee handbook, where one exists
c.The workers' comp policy, not just the carrier name
d.An OSHA 300 log of last year's recordable injuries

Labor Code §2810.5(a) requires every employer to give each nonexempt employee, at the time of hiring, a written notice - the Wage Theft Prevention Act notice - stating the rate or rates of pay and the basis, any allowances, the regular payday, the employer's name and addresses, and the workers' compensation carrier. What goes on the notice is the carrier's name and contact details, not the policy document itself. An employee handbook is not required by law at all, whatever an employer chooses to publish. And the Cal/OSHA 300 log records injuries for the year: its annual summary is posted from February 1 through April 30, not handed to new hires.

Labor Code §2810.5(a)
21. An employee's accrued, unused vacation at termination must be:
a.Forfeited under the company's written policy
b.Paid out at the employee's final rate of pay✓
c.Carried over into the next calendar year only
d.Paid at the rate in force when it accrued

Labor Code §227.3 treats vested vacation as wages, and Suastez holds it vests as it is earned, so on termination all unused vacation is payable at the employee's final rate. A written policy cannot declare it forfeited — that is the specific outcome §227.3 forbids. Carry-over is a legitimate accrual rule while employment continues, but it cannot survive the separation, which is when payment falls due. Paying at the older rate the time accrued at understates the wage: §227.3 fixes the final rate as the measure.

Labor Code §227.3; Suastez v. Plastic Dress-Up Co. (1982) 31 Cal.3d 774
22. What is the penalty for each pay period that an employer willfully fails to provide a proper itemized wage statement?
a.$25
b.$50
c.$100✓
d.$250

The penalty for a knowing and intentional violation of the wage statement requirements is $100 per employee per pay period, with a maximum of $4,000 per employee.

Labor Code §226(e)
23. A contractor hires a worker who is classified as an independent contractor but actually meets the definition of an employee. The main risk to the contractor is:
a.Nothing, because a signed independent-contractor agreement controls
b.Only a warning letter, since a first violation carries no penalty
c.The worker's only remedy is a claim filed in federal court
d.Back wages and payroll taxes, plus the §226.8 civil penalties✓

Status is decided by the ABC test in Labor Code §2775(b)(1) — with the separate construction-subcontractor rules of §2781 — not by what the parties called the arrangement, so a signed independent-contractor agreement settles nothing. A willful misclassification draws a civil penalty of $5,000 to $15,000 per violation under §226.8(b), rising to $10,000 to $25,000 where there is a pattern or practice under §226.8(c), on top of the back wages, unpaid overtime and payroll taxes. There is no free first violation, and under §226.8(d) the order goes to CSLB, which must begin disciplinary action within 30 days. The forum is a state claim or civil action, not federal court.

Labor Code §226.8(b), (c), (d); §2775(b)(1); §2781
24. An hourly laborer earning $24.00 per hour works exactly 11 hours on a single workday with no other days worked that week. What is that day's gross pay?
a.$264.00
b.$288.00
c.$300.00✓
d.$396.00

First 8 hours at $24.00 = $192.00; hours 9-11 (3 hours) at 1.5× = $36.00 × 3 = $108.00. Total = $192.00 + $108.00 = $300.00. Double time would only begin after 12 hours.

Labor Code §510
25. A carpenter earns $30.00 per hour and works 14 hours in one workday. What is the gross pay for that day?
a.$510.00
b.$540.00✓
c.$420.00
d.$630.00

Hours 1-8 at $30.00 = $240.00; hours 9-12 (4 hours) at 1.5× ($45.00) = $180.00; hours 13-14 (2 hours) at 2× ($60.00) = $120.00. Total = $240.00 + $180.00 + $120.00 = $540.00.

Labor Code §510
26. An employee works 8 hours per day Monday through Friday and then 6 hours on Saturday, for a total of 46 hours in the workweek. How many hours must be paid at the overtime rate?
a.6 hours at 1.5×✓
b.0 hours; no overtime is owed
c.6 hours at 2×
d.2 hours at 1.5×

No single day exceeded 8 hours, so no daily overtime applies. However, the week totaled 46 hours, and California requires 1.5× pay for all hours over 40 in a workweek — that is 6 hours of weekly overtime.

Labor Code §510
27. A construction crew wants to work four 10-hour days each week without daily overtime kicking in at hour 9. What must be in place for this to be lawful?
a.The foreman's verbal agreement on the site
b.An alternative workweek by secret ballot✓
c.A written request from a single employee
d.Written approval from the CSLB registrar

Labor Code §511(a) allows a regularly scheduled alternative workweek of up to ten hours a day within a 40-hour week only where at least two-thirds of the affected employees in a readily identifiable work unit approve it by secret ballot, after the employer has disclosed the proposal in writing and held a meeting at least 14 days before the vote, with the results reported to the DIR. (c) captures the idea of employee consent but makes it individual; the schedule is adopted by a work unit, and one worker cannot opt in or out. (a) is the way these schedules actually get run in the field, and it is unlawful - an unratified 4/10 schedule owes daily overtime after eight hours for every day worked. (d) sends the question to the licensing board, which has no role in wage-hour scheduling.

Labor Code §511(a); 8 CCR §11160, §3(C) (Wage Order 16 alternative workweek)
28. Under California law, how is daily overtime determined relative to the regular rate of pay?
a.1.5 times the employee's base hourly wage, excluding any bonus
b.1.5 times the state minimum wage, whatever the employee earns
c.A multiple, 1.5× or 2×, of the worker's regular rate of pay✓
d.A flat premium of fifteen dollars an hour above the base wage

Labor Code §510(a) sets overtime as a multiple of the employee's REGULAR RATE — not less than 1.5× beyond eight hours in a workday, and not less than 2× beyond twelve. The regular rate is not the same as the base hourly wage: nondiscretionary bonuses, shift differentials and similar earnings are folded in, which is why paying 1.5× the bare base rate underpays. The minimum wage is a floor on pay, not the base for a premium the employee has earned at a higher rate. And no provision converts overtime into a flat dollar premium; the multiplier moves with what the employee actually earns.

Labor Code §510(a)
29. An employee is scheduled for a 12-hour shift on a construction site. How many 30-minute meal periods must the employer provide?
a.Two meal periods✓
b.None; meal periods are optional for shifts over 10 hours
c.One meal period only
d.Three meal periods

A second 30-minute meal period is required when a shift exceeds 10 hours. A 12-hour shift triggers two meal periods — the first by the end of hour 5 and the second by the end of hour 10.

Labor Code §512
30. An employer fails to provide a legally required meal period to an employee on a given day. What does California law require the employer to pay?
a.Thirty minutes of pay at the regular rate
b.A flat $50 penalty payable to the state
c.Nothing, if the employee was not disciplined
d.One additional hour of pay at the regular rate✓

Labor Code §226.7 requires one additional hour of pay at the employee's regular rate for each workday a compliant meal period was not provided, and a separate hour for a day of rest-period violations. Paying only the thirty minutes the break would have lasted treats the premium as make-up wages; it is a fixed one-hour premium regardless of how much of the break was lost. The $50 figure belongs to the wage-statement penalties in §226.3 and is payable to the state, not to the employee. And the premium is owed whether or not the employee was disciplined or even complained.

Labor Code §226.7; cf. §226.3
31. A construction worker is scheduled to work a 6-hour shift. Under what condition may the meal period be waived?
a.By mutual consent of the employer and employee✓
b.The employer may waive it unilaterally
c.It can never be waived under any circumstances
d.Only with written approval from the Labor Commissioner

For a work period of no more than 6 hours, the meal period may be waived by mutual consent of both the employer and the employee. The waiver should be voluntary, not coerced.

Labor Code §512
32. On a construction job site, who is generally responsible for providing potable drinking water and toilet facilities for employees?
a.Each employee, who must bring water and find a public restroom
b.The project owner, who must equip the site for all trades on it
c.The employer, under the Cal/OSHA construction safety orders✓
d.The general contractor alone, never the subcontractors

The employer of the exposed employees provides both: 8 CCR §1524 requires an adequate supply of potable water in all places of employment, and 8 CCR §1526 requires toilets at construction jobsites - a minimum of one separate facility for each 20 employees or fraction thereof of each sex, with narrow exemptions for very small crews and for mobile crews with ready transportation. IWC Wage Order 16 §10(C) adds potable water, soap and single-use towels for hand washing. Employees cannot be left to supply their own, the project owner carries no such duty, and the general contractor's control of the site does not relieve each subcontractor of providing for its own crew.

8 CCR §1524; 8 CCR §1526; IWC Wage Order 16 §10(C)
33. During a paid 10-minute rest break, an employee must be:
a.Reachable by phone in case the crew needs help
b.Kept on standby at the assigned work station
c.Clocked out, with the ten minutes unpaid
d.Relieved of all duty and of employer control✓

Augustus holds that a rest period requires the employer to relieve the employee of all duties and relinquish control over how the ten minutes are spent; §226.7 then prices a failure at one extra hour of pay. Staying reachable by phone and standing by at the work station are both on-duty time, which is why an on-call rest period does not count as one. Clocking out contradicts the rule that the ten minutes are paid as hours worked. Wage Order 16 does let a construction employer designate where the break is taken — even the immediate work area — so the test is freedom from duty, not freedom to leave the site.

Labor Code §226.7; Augustus v. ABM Security Services (2016) 2 Cal.5th 257; IWC Wage Order 16 §11
34. An employee gives the contractor 72 hours of advance notice that they will quit. On the employee's last scheduled workday, when are final wages due?
a.Within 72 hours after the last day worked
b.By the next regular payday
c.Within 30 days of resignation
d.On the last day of work✓

When an employee quits with at least 72 hours of advance notice, final wages are due on the last day of work. The 72-hour grace period only applies when the employee quits without giving such notice.

Labor Code §202
35. A contractor willfully fails to pay a discharged employee's final wages on time. The employee earned $200 per day. The waiting-time penalty under Labor Code §203 continues until paid, up to a maximum of:
a.10 days
b.20 days
c.30 days✓
d.60 days

The waiting-time penalty under §203 equals the employee's daily wage for each day final pay is late, continuing until paid, but capped at 30 days. Here that maximum would be $200 × 30 = $6,000.

Labor Code §203
36. An employee earning $160 per day is discharged, and the contractor pays the final wages 8 days late without any good-faith dispute. What is the waiting-time penalty?
a.$1,280✓
b.$160
c.$800
d.$4,800

The §203 waiting-time penalty is the daily wage multiplied by the number of days the payment is late: $160 × 8 = $1,280. The penalty would continue accruing up to a 30-day maximum if the wages remained unpaid.

Labor Code §203
37. A contractor lays off a worker at the end of a project. With respect to final pay, a layoff is treated the same as:
a.A discharge, with final wages due immediately✓
b.A voluntary quit, with wages due in 72 hours
c.A leave of absence, with no final pay due
d.A resignation with 72 hours' notice, paid that day

A layoff is a separation the employer initiates, so Labor Code §201 treats it as a discharge and all earned unpaid wages, including vested vacation under §227.3, are due at the time of the layoff. The 72-hour rule in §202 belongs to an employee who quits without notice, and an employee who gives at least 72 hours' notice is paid on the last day - both true rules about quitting, neither the rule for a layoff. A leave of absence is not a separation at all, so no final pay is triggered.

Labor Code §201; §202; §227.3
38. Which of the following must appear on an employee's itemized wage statement in California?
a.The employee's home address
b.The employer's federal tax return
c.The inclusive dates of the pay period✓
d.The names of the employee's dependents

Labor Code §226 requires wage statements to show the inclusive dates of the period for which the employee is paid, along with gross/net wages, hours, rates, deductions, employee name with last four SSN digits, and the employer's name and address.

Labor Code §226
39. How long must a California employer retain copies of employee itemized wage statements (or the data needed to reproduce them)?
a.Six months after it issues
b.One year after it issues
c.Three years after it issues✓
d.Ten years, as with tax records

Labor Code §226(a) requires the employer to keep a copy of each itemized wage statement, or the data needed to reconstruct it, for at least three years at the place of employment or a central location in California - the same three years §1174 sets for payroll records. Six months and one year both fall short of the statute, and ten years borrows the retention habit of tax records, which §226 does not impose.

Labor Code §226(a)
40. A current or former employee submits a written request to inspect or copy their payroll records. Within how many days must the employer comply?
a.3 business days
b.60 calendar days
c.21 calendar days✓
d.There is no time limit

Under Labor Code §226, an employer must allow a current or former employee to inspect or receive a copy of their wage statement records within 21 calendar days of a written or oral request.

Labor Code §226
41. A contractor and a worker agree in writing to pay below the rate set in an applicable collective bargaining agreement. Under California law, this withholding of the agreed wage is:
a.Permitted, because both parties signed the side agreement
b.Unlawful; the wage agreement's rate cannot be undercut✓
c.Permitted only on private projects, not on public works
d.Permitted while the worker is still a probationary hire

Labor Code §222 makes it unlawful to withhold any part of the wage arrived at through collective bargaining, and §223 separately bars secretly paying less than the scale a statute or contract requires, so a signed side deal is void rather than an exception - the parties cannot contract around the agreed rate. The prohibition does not distinguish private work from public work, and probationary status does not suspend the agreed scale.

Labor Code §222; §223
42. A bookkeeper discovers the company overpaid an employee $300 in a prior paycheck due to a clerical error. What is the lawful way to recover the money in California?
a.Deduct the full $300 from the next paycheck without notice
b.Get the employee's voluntary written authorization to repay✓
c.Deduct it automatically over the next two pay periods, in equal parts
d.Withhold it from the employee's accrued vacation balance instead

Labor Code §221 makes it unlawful for an employer to collect back wages already paid, so a unilateral deduction is unlawful however thinly it is spread — over one paycheck or over two. Section 224 permits a deduction only where state or federal law requires it or where the employee expressly authorizes it in writing, which is why voluntary written authorization, or simply asking for repayment outside payroll, is the lawful route. Reaching into accrued vacation fails for the same reason: vested vacation is wages under §227.3, not a reserve the employer may draw on.

Labor Code §221, §224, §227.3
43. Which of the following payroll deductions is generally permitted under California law without a separate written authorization?
a.The cost of a customer's damaged materials
b.Taxes and other amounts required by law✓
c.A penalty for a late arrival to the job site
d.The contractor's cost of correcting the employee's defective work

Labor Code §224 allows deductions required by law (such as income tax withholding and payroll taxes) or expressly authorized in writing by the employee for insurance or benefits. Deductions for breakage, defective work, or business losses are unlawful.

Labor Code §224
44. The Wage Theft Prevention Act notice given to a new non-exempt employee must include all of the following EXCEPT:
a.The rate of pay and basis (hourly, salary, piece, etc.)
b.The regular payday designated by the employer
c.The name, address, and phone number of the employer
d.The employee's expected total annual earnings✓

The §2810.5 notice must state the pay rate and basis, overtime rate, allowances, regular payday, and employer contact and workers' comp carrier information. It does not require a projection of total annual earnings.

Labor Code §2810.5
45. If the information on a Wage Theft Prevention Act notice changes (for example, the pay rate increases), how must the employer notify the employee?
a.In writing within 30 calendar days of the change
b.In writing within 7 calendar days of a change✓
c.In writing within 7 business days of the change
d.In writing before the first payday at the new rate

Labor Code §2810.5(b) gives the employer seven calendar days from the change to notify the employee in writing, unless all the changes already appear on a timely itemized wage statement furnished under §226 or in another writing the law requires within seven days. Thirty days is not a deadline this statute contains. Reading the seven days as business days quietly stretches a period the Legislature wrote as calendar days. And nothing in §2810.5 ties the notice to the first payday at the new rate.

Labor Code §2810.5(b); §226
46. Under the ABC test, prong "B" requires that, to classify a worker as an independent contractor, the worker must:
a.Hold a contractor license and post their own surety bond
b.Perform work outside the hiring entity's usual business✓
c.Be paid by the project rather than by the hours worked
d.Have worked in that trade for at least five full years

Prong B asks one thing: is the work outside the usual course of the hiring entity's business? A framer hired by a framing contractor fails it, because framing is that company's core business. The ABC test was enacted by AB 5 at Labor Code §2750.3; AB 2257 repealed that section in 2020 and the test now sits at §2775(b)(1). A licensed framing subcontractor can still be an independent contractor — not through prong B, but through the separate construction-subcontractor criteria at §2781, which is where the license and bond requirements live. Method of payment comes from the older Borello factors, and years in the trade appears in no prong at all.

Labor Code §2775(b)(1); §2781
47. Under Labor Code §226.8, willful misclassification of an employee as an independent contractor can result in a civil penalty of:
a.$1,000 per violation, with no increase for repeated conduct
b.A warning letter for a first offence, with penalties only after that
c.Up to $1,000 per violation, plus loss of the licence for one year
d.$5,000 to $15,000 per violation, more for a pattern or practice✓

Labor Code §226.8(b) authorises $5,000 to $15,000 for each willful misclassification, and §226.8(c) raises the range to $10,000 to $25,000 per violation where the employer engages in a pattern or practice. There is no warning-letter grace period: the penalty attaches to the first willful violation. Figures in the hundreds or at a flat $1,000 belong to other Labor Code penalty scales. And the licence consequence is not automatic revocation for a year - §226.8(d) sends a certified copy of the order to the CSLB, which must initiate disciplinary action within 30 days, while §226.8(e)-(f) make the violator post a notice of the violation for one year.

Labor Code §226.8(b), §226.8(c), §226.8(d), §226.8(e)-(f)
48. A contractor hires a new laborer who starts work on June 1. Under California's new-hire reporting law, the report to the EDD is due no later than:
a.July 1, i.e. 30 days after the start
b.June 21, 20 days after the start✓
c.June 30, the end of that quarter
d.July 15, with the next tax deposit

Unemployment Insurance Code §1088.5 gives the employer 20 days from the employee's first day of work to report the new hire to the EDD, so a June 1 start is due June 21. Thirty days is not a deadline in §1088.5 at all. The quarterly return is a separate filing on its own clock and does not carry the new-hire report. And nothing ties the report to a payroll tax deposit — the deposit schedule and the new-hire report are independent obligations.

Unemployment Insurance Code §1088.5
49. What is the primary purpose of the federal Form I-9 that an employer completes for each new hire?
a.To compute the correct income-tax withholding for the new hire
b.To report the new hire to the EDD for state new-hire reporting
c.To verify the new hire's identity and the authorization to work✓
d.To send USCIS proof of the hire within three business days

Form I-9, required by the federal Immigration Reform and Control Act, verifies two things about every person hired to work in the United States: identity, and authorization to work. The employer completes it and KEEPS it — it is not filed with USCIS or any other agency, which is what the three-business-day answer gets wrong (three business days is the deadline to complete the form, not to send it anywhere). Income-tax withholding is the W-4's job, and reporting a new hire to the EDD is a separate state form with its own deadline.

Federal Form I-9; Immigration Reform and Control Act (8 U.S.C. §1324a)
50. The California Fair Employment and Housing Act (FEHA) prohibits employment discrimination by employers who have at least how many employees?
a.1 employee
b.2 employees
c.5 employees✓
d.15 employees

FEHA's prohibition on discrimination and harassment generally applies to employers with five or more employees. (Harassment provisions can apply even more broadly, but the 5-employee threshold is the standard FEHA coverage rule for discrimination.)

Gov. Code §12900 et seq. (FEHA)

Last reviewed: · editorial process

PrepPass team · Verified against California CSLB · How we review

What's on the California CSLB Law & Business Exam?

The California CSLB Law & Business Exam is administered by the California Contractors State License Board (CSLB). Topic weights below come directly from the official exam blueprint — focus your study on the highest-weighted areas first.

Official source: California Contractors State License Board (CSLB) →

Questions
115 questions — 5 independent prep providers agree; CSLB publishes none.
Time limit
210 minutes
Passing score
Not published by CSLB

Every figure above, with the document it came from and the date we read it →

Topic blueprint

  • 21%
    Contracts & Execution
  • 20%
    Employment
  • 15%
    Business Finances
  • 14%
    Safety
  • 13%
    Business & Licensing
  • 12%
    Insurance & Liens
  • 5%
    Public Works
PrepPass team · Verified against California Contractors State License Board (CSLB) · How we review

How hard is the exam?

Moderate difficulty. The CSLB Law & Business exam runs 3.5 hours and is dense with contract law, payroll rules, and Cal/OSHA safety standards. CSLB publishes neither the question count nor the passing score — you are told the percentage of correct answers you need at the test site.

Recommended study hours
40-80 hours over 4-8 weeks (most candidates)
Published pass rate
57% across all attempts (n = 17,737) — CSLB, reporting to the Legislature, FY 2022/23. The same table gives 52% (n = 14,844) in FY 2019/20, 58% (n = 16,724) in FY 2020/21 and 54% (n = 25,061) in FY 2021/22. CSLB labels every one of them “Overall Pass %”, so none is a first-attempt rate.Source: CSLB — 2024 Sunset Review Oversight Report (PDF), Table 8: Examination Data
Where to focus first
Contracts (largest topic by exam weight) and Cal/OSHA Safety — together these are usually 40%+ of the exam.

Fees and salaries are approximate and change over time. The pass rate above is quoted from the source linked beside it, for the period that source covers — where we have not checked a source, we say so and give no number.

Frequently asked questions

How many CSLB Law & Business practice questions are in this bank?+

1,632 original practice questions across all 7 topics of the CSLB Law & Business exam, with full explanations, and California statute citations on 1,359 of them.

Is the CSLB Law & Business practice free?+

Yes — every practice question, organized by topic with full explanations, is free and needs no signup. The full timed mock exam (mock-readiness score, PDF report and weak-area retest) is free too. None of the practice is paywalled. Separately, PrepPass sells optional downloads — the CSLB Law & Business study guide, a printable cheat sheet, and bundles of them — which you never need in order to practice.

Are these the real CSLB exam questions?+

No. All questions are 100% original prose authored from public-domain sources (California Business and Professions Code, Civil Code, Labor Code, Title 16 CCR). We never copy from real CSLB exams or paid prep providers.

What topics does the CSLB Law & Business exam cover?+

Seven topics: Business Organization & Licensing, Business Finance, Employment Requirements, Insurance & Liens, Contracts & Performance, Public Works, and Safety.

What's the passing score for the CSLB Law & Business exam?+

CSLB does not publish one. It says you will be told at the test site what percentage of correct answers you need, and that the percentage varies by exam; passing candidates are never shown their own score. CSLB does not publish the question count either — prep providers quote figures for both, and those are theirs, not CSLB's. What CSLB does publish is the time: 3.5 hours at a PSI testing center.

Can I take the CSLB exam in Spanish?+

Yes — the official CSLB exam is offered in English and Spanish. Other languages may be available by translator request (4–6 weeks lead time). PrepPass practice questions are available in English, 中文, and Español.

Does PrepPass track which questions I get wrong?+

Yes — sign up free and the 'My mistakes' filter shows you only the questions you've missed across all your practice sessions. It updates automatically as you re-attempt and get them right.

Is there a study guide for the CSLB Law & Business?+

Yes. PrepPass sells CSLB Law & Business — Complete Study Guide (2026), a PDF + EPUB download, $24.99 one-time; the practice on this page stays free without it. See the study guide →

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