A contractor lays off a worker at the end of a project. With respect to final pay, a layoff is treated the same as:
Explanation
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.
Law Reference: Labor Code §201; §202; §227.3This topic, taught in full in the CSLB Law & Business guide. CSLB Law & Business — Complete Study Guide (2026) — PDF + EPUB, $24.99 · 14-day refund →
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