Texas Employment Law Issue: Withholding an Employee’s Final Paycheck

/cdklawyers.com// 04/12/2012

Unfortunately, when an employer fires an employee, not all loose ends can be addressed at the termination meeting. So, can an employer withhold the terminated employee’s final paycheck until the employee addresses the employer’s concerns? For example, can an employer tell the terminated employee that she will get her final paycheck if and when she delivers her company-issued tool belt and pays for the damage she caused to a company-owned truck?

“No,” according to Dallas, Texas employment lawyer Keith Clouse; an employer cannot condition the receipt of an employee’s final paycheck on the employee’s completion of certain requirements. Instead, in most situations, Texas law requires an employer who fired an employee to pay the employee within six calendar days after the employee’s termination. Failure to do so could result in the employee taking legal action against the employer.

While an employer cannot withhold an employee’s final paycheck, in some situations, an employer and an employee can agree in writing that certain expenses will be deducted from the employee’s final paycheck. If such an agreement exists and it complies with the applicable requirements, then the employer may deduct money from the employee’s final paycheck to cover those expenses.


To speak to Mr. Clouse about handling the termination of an employee or about another employment law issue, please contact him and the Dallas, Texas employment lawyers at Clouse Dunn LLP via email at [email protected] or telephone at 214 220 3888. 

Press Release Contact Information:


Clouse Dunn LLP

214.220.3833 ( fax)
[email protected]