EmploymentQuestion 268 of 1632
A discharged employee earned 16 hours of accrued, unused vacation and was owed final hourly wages. At the moment of discharge, the contractor must pay:
a.Only the hourly wages, with the vacation paid at the next payday
b.Both the final hourly wages and accrued vacation, at once
c.Only the accrued vacation, since hourly pay awaits the cycle
d.Nothing until the next regular payday after the discharge
Explanation
Labor Code §201(a) makes all wages earned and unpaid due immediately on discharge, and §227.3 treats vested vacation as wages, so the vacation value is part of that immediate payment. Pushing either piece to the next payday is the §202 rule for an employee who quits without notice, not the discharge rule. Paying only one of the two still leaves earned wages unpaid, and every day they stay unpaid runs the §203 waiting-time penalty.
Law Reference: Labor Code §201(a); §227.3; §203This 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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Reviewed by Abraham Chen — Licensed California General Contractor (CSLB License #1101856 — verify)