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United States · California

California Labour Compliance

California has some of the most employee-protective labor laws in the US, enforced by the Division of Labor Standards Enforcement (DLSE). Daily overtime thresholds, meal and rest break rules, final pay timing, and the state minimum wage all exceed federal FLSA standards.

1Daily Overtime (8/12-Hour Rule)

California requires 1.5× pay for work beyond 8 hours in a single workday, and 2.0× pay for work beyond 12 hours. A second consecutive rest day also triggers double-time for the entire day. This is separate from—and additive to—the federal 40-hour weekly overtime threshold.

How ClockIt Helps

ClockIt supports California-specific daily overtime rulesets, calculating daily 1.5× and 2.0× thresholds independently of weekly totals, with accurate handling of seventh consecutive day rules.

2Meal Break Penalties

Employers must provide a 30-minute unpaid, uninterrupted meal period no later than the end of the 5th hour of work. A second meal period is required no later than the end of the 10th hour. A missed or short meal period results in one premium hour of pay at the employee's regular rate of compensation.

How ClockIt Helps

ClockIt's Break Enforcement feature tracks meal break start times and durations. Managers receive an alert if a meal break is missed or cut short, and the system automatically flags a meal premium pay code on the timesheet.

3Paid Rest Breaks

Employees are entitled to a paid 10-minute rest break for every 4 hours worked (or major fraction thereof). Rest breaks cannot be combined with meal breaks or used to cover tardiness. A missed rest break also triggers one premium hour of pay.

How ClockIt Helps

ClockIt schedules and tracks rest break compliance, automatically generating rest premium pay when a break is not recorded within the required window.

4Minimum Wage

California's state minimum wage is $16.50/hour from 1 January 2025. Fast food workers covered by AB 1228 receive a minimum of $20/hour from 1 April 2024. Local ordinances (Los Angeles, San Francisco, etc.) frequently exceed the state rate.

How ClockIt Helps

ClockIt lets you configure industry- and location-specific minimum wage rates, validating every shift against the applicable floor before payroll is finalised.

5Final Pay Timing

If an employee is terminated (involuntary), all wages including accrued vacation must be paid immediately at the time of termination. If the employee resigns without notice, final pay is due within 72 hours. Waiting time penalties of one day's wages per day of delay can accrue for up to 30 days.

How ClockIt Helps

ClockIt generates a final pay summary report—including accrued vacation payout—at the time a termination is processed, with a timestamp to support the immediacy requirement.

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