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Reuse Request

May I have a policy in our employee handbook warning that after six months any uncashed paychecks will be cancelled and not reissued?

No. Employers may not take possession of uncashed payroll checks or refuse to reissue them. Wages remain the employee’s property, and employees may file a claim for unpaid wages within the applicable statute of limitations.

If the employee cannot be located, the wages escheat to the state under the Unclaimed Property Law (Code of Civil Procedure Section 1500 et seq.), administered by the State Controller’s Office.

Unclaimed wages escheat after one year from the date they become payable (Section 1513(a)(7)). Sections 1510 and 1511 provide additional inclusions and exclusions.

The Labor Commissioner also may collect unclaimed wages. After a diligent search for the employee, the wages are transferred to the Industrial Relations Unpaid Wage Fund and escheat to the state.

These laws prevent employers from retaining unclaimed wages and ensure employees can recover them.

Read about Form of Wage Payment in the HR Library.

Q&As

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If the minimum wage rate changes mid-pay period or mid-workweek, do we pay the new higher rate for the entire pay period or workweek?
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