EmploymentQuestion 250 of 1632

California law requires employers to keep accurate records of the hours worked daily by each employee. The primary purpose of these time records is to:

a.Verify correct payment of wages and overtime
b.Establish eligibility for unemployment benefits
c.Replace the itemized wage statement due each payday
d.Prove the worker is an independent contractor

Explanation

Labor Code §1174(d) makes the employer keep payroll records showing the hours worked daily and the wages paid, and keep them at least three years; those records are what proves regular wages, overtime and meal-period compliance when a claim is filed. Unemployment eligibility is decided by EDD from quarterly wage reports, not from daily time cards. The time record does not replace the itemized wage statement §226 requires with every payday — the employer owes both. And hours worked say nothing about classification, which turns on the ABC test in Labor Code §2775(b)(1).

Law Reference: Labor Code §1174(d); §226; §2775(b)(1)

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