Orange County Employment Lawyers Blog
Businesses in California don’t have keep a running tally of paid time off or vacation hours accrued on worker paychecks or wage statements, according to a new state appeals court ruling. 
In Soto v. Motel 6 Operating, L.P., plaintiff alleged employer violated California Labor Code section 226, subdivision (a), by not including the monetary amount of vacation pay/ PTO on employees’ wage statements. A three-judge panel for California’s Fourth Appellate District disagreed, affirming the lower court’s ruling in favor of the company after it was sued by a former worker in 2015.
Plaintiff worked for the hotel chain for almost three years, from 2012 to 2015. A few months after she left the company, she brought a representative Private Attorney General Act of 2004 (PAGA) action for a violation of the aforementioned statute. The law says, in part, that every employer shall on a semimonthly basis at the time of payment of wages give each employee an accurate, itemized statement that shows in writing:
- Gross wages earned;
- Total hours worked (except those based on salary who are exempt from overtime);
- Number of piece-rate units earned;
- All deductions;
- Net wages earned;
- Inclusive dates of the period for which employee is paid;
- The name of employee and last four digits of his/her social security number with wage statements that set forth “all vacation and PTO wages accrued during the applicable pay period.”
