[CA] When must an employer pay final wages after firing a worker classified as a contractor?

Lexi, Chatbot

I'm sorry to hear about your situation, it must be frustrating not to receive your last paycheck. Can you tell me if you have a written contract or agreement with the appliance repair company regarding payment terms?

Lexi, Chatbot

Have you attempted to contact any labor authorities or agencies regarding this issue?

Lexi, Chatbot

Is there anything else the Employment Lawyer should know before I connect you? Rest assured they'll be able to help with your last paycheck.

Lawyer, Esquire

Hello, my name is Patrick. I am an attorney with more than 15 years of experience and it will be my pleasure to assist you with your question. I'm sorry you're dealing with this situation. Can you please clarify for me whether you were paid on a regular schedule (for example weekly or bi-weekly), and the date your last pay period ended? Thank you very much and I look forward to assisting you.

Lawyer, Esquire

The first thing worth addressing is your status as an independent contractor, because it has a significant bearing on your rights here. California applies a very strict legal test (called the ABC test) to determine whether someone is truly an independent contractor or is, in fact, a misclassified employee. Under that test, the company would need to establish, among other things, that your work falls entirely outside their usual course of business and that you operate an independently established trade or business. (CA Labor Code § 2750.3)

Appliance repair companies that use workers to perform their core service of repairing appliances routinely fail that test, which means there is a real argument that you were, legally speaking, an employee all along rather than a true independent contractor.

That distinction matters here because California's final paycheck law requires that an employee who is discharged or fired be paid all earned wages immediately upon termination, meaning on the day they are let go. (CA Labor Code § 201) If you were misclassified as a contractor when you were really an employee, that protection applies to your situation, and your employer is already in violation. Moreover, for every day that a final paycheck remains unpaid after it was due, California law provides for waiting time penalties equal to one full day of wages, up to a maximum of 30 days. On a weekly salary of even $1,000, that penalty alone could add $4,285 to what the company owes you.

Even if you were a legitimate independent contractor, your employer still owes you every dollar you earned under your agreement, and their silence does not change that obligation. Your remedy in that scenario would typically be through a civil court action or small claims court (depending on the amount), though the Labor Commissioner route described below may still be available to you. Given the strength of California's ABC test and the nature of the work you were doing, I would not simply accept the contractor label without examining it more closely. Your best immediate step is to file a wage claim with California's Labor Commissioner's Office, which is free and does not require an attorney.

I hope that you find this information helpful. If there is anything else I can do for you, just let me know. It's my pleasure.