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What are my legal obligations when terminating an employee in California?

Picture of Chris Battis By   ·  1 minute read
As a California employer, you have certain legal obligations when terminating an employee. These obligations are primarily designed to protect employees from unlawful discrimination or retaliation.

Legal Obligations

First, you must ensure that the termination does not violate any local, state, or federal anti-discrimination laws. This means that you cannot terminate an employee based on their race, gender, national origin, age, religion, disability, or any other protected characteristic. If an employee has filed a complaint or engaged in other protected activity, you must also take care to avoid any retaliatory actions.

Second, you must provide the employee with any wages or benefits owed to them at the time of termination. This may include unpaid wages, accrued vacation time, or severance pay if applicable.

Third, you must provide the employee with their final paycheck within a certain timeframe. In California, you must pay all earned wages and unused vacation pay immediately upon termination, unless the employee has given at least 72 hours' notice of their intention to quit. In that case, the employer has 72 hours to make the final payment.

Fourth, you must provide the employee with certain notices and paperwork related to their termination. For example, you must provide them with a written notice of the reason for the termination, including any specific misconduct or performance issues. You must also provide them with information about their eligibility for state unemployment insurance benefits.

Finally, you should be mindful of the potential for legal claims or litigation related to the termination. To minimize your risk, you should document the reasons for the termination and keep thorough records of any performance or conduct issues leading up to the termination. You may also want to consult with an attorney to review the situation and advise you on any potential legal issues.

In summary, when terminating an employee in California, you must follow anti-discrimination laws, provide final wages and benefits, provide the employee with proper notices and paperwork, and be mindful of potential legal issues. If you have any questions or concerns about terminating an employee, it is recommended that you seek the advice of a licensed attorney.