CSLB Law & Business ExamPublic WorksHard
A public works contractor is completing a project for a state agency. The contractor has submitted all required certified payroll records to the awarding body. How long, at minimum, must the contractor retain copies of these certified payroll records at their principal office after the project is completed?
- A1 year
- B3 years
- C4 years
- D2 years
Show answer & explanationAnswer & explanation
Correct answer: B. 3 years
California Labor Code § 1776(a) requires every contractor and subcontractor to keep accurate payroll records for all employees working on public works projects. These records must be available for inspection and must be retained for a period of not less than three years from the date of completion of the public work.
Why the other options are wrong
- A. 1 year is too short for public works payroll record retention.
- C. While some records might be kept longer, the minimum legal requirement for certified payroll is three years.
- D. 2 years is too short; the legal requirement is longer.
Certified Payroll Record Retention
Contractors and subcontractors on public works projects must retain certified payroll records for a minimum of three years from the date of completion of the public work.
- Minimum 3-year retention period.
- Applies to contractors and subcontractors.
- Records must be accurate and available for inspection.
Memory trick: Three years, no tears, for public works payroll fears!