When are Temporary Workers owed Their Final Wages?

Payment of final wages upon termination (or resignation) can be a big deal in California. Labor Code sections 201-203 set forth important rules that employers must follow, and can result in stiff penalties when they are violated: up to 30 days of pay at the employee’s regular daily wages.

A recent California Court of Appeal decision explores the question of when temporary workers are owed their final wages. In Young v. REMX Specialty Staffing (2023) 91 Cal.App.5th 427, the plaintiff was hired by a temporary staffing agency in July 2013. She was then assigned to a Bank of the West location and, soon thereafter, terminated. The plaintiff then sued, claiming that she had not been properly paid her final wages upon the termination of her employment.

The case thus turned on California Labor Code section 201.3(b)(4), which provides that if an employee of a temporary services employer is assigned to work for a client and is discharged by the temporary services employer or leasing employer, wages are due and payable immediately. (more…)