How can I recover an unpaid final paycheck in South Dakota?
In South Dakota, when an employee leaves the payroll the employer generally must pay unpaid wages by the next regular payday for which those hours would normally have been paid, or when the employee returns the employer's property, depending on the situation. If there is a dispute, the employer must give written notice of the amount it concedes is due and pay that amount on the schedule required by law. If an employer fails to pay, former employees commonly seek the unpaid wages through a written demand and, if necessary, a statutory claim or court action.
Only cash wages are covered by the wage-payment rules in these statutes. Unclaimed payroll checks that remain unpaid for more than a year may be treated as abandoned under the state unclaimed property rules. A civil claim to recover unpaid wages is subject to a time limit under state law.
Current South Dakota law
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The deadline that matters
A civil action to recover unpaid wages generally must be started within two years after the cause of action occurs (SDCL § 60-12-20).
What South Dakota law says
South Dakota law requires that when an employer separates an employee from the payroll, unpaid wages are due no later than the next regular stated payday for which those hours would have normally been paid, or as soon thereafter as the employee returns employer property, under SDCL § 60-11-10 and when an employee who quits without a written contract for a definite period, wages are due by the next regular payday or upon return of employer property under SDCL § 60-11-11. If there is a dispute over the amount owed, the employer must provide written notice of the amount it concedes is due and pay that amount according to the statutory schedule, and acceptance of that partial payment does not release the remaining claim, under SDCL § 60-11-13. The wage-payment statutes apply only to cash wages SDCL § 60-11-14. Unpresented payroll checks or unpaid wages unclaimed for more than one year may be presumed abandoned under the unclaimed property provisions SDCL § 43-41B-16. A civil action to recover unpaid wages must generally be commenced within two years after the cause of action occurs SDCL § 60-12-20.
What to do
A common first step is to send a written demand to the employer requesting the unpaid wages and stating when they were due.
A common next step is to document hours worked, pay stubs, employment end date, and any communication about the final paycheck.
A common option is to file a state wage-claim or unpaid wages complaint if the employer does not pay after a demand.
A common step is to consider seeking the unclaimed property process if a payroll check remains uncashed for a year or more.
A common option is to prepare for a civil claim within the two year statute of limitations for wage actions.
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Common questions
When must my final paycheck be paid?
Under state law, unpaid wages after separation are due by the next regular payday that would normally cover those hours, or as soon as the employee returns employer property, depending on the situation.
Does the law cover noncash compensation like vacation or stock?
The wage-payment statutes apply only to cash wages. Other forms of compensation are not covered by those provisions.
What if my employer says there is a dispute over pay?
If there is a dispute, the employer must give written notice of the amount it concedes is due and pay that amount on the statutory schedule; acceptance of that payment does not release the rest of the claim.
How long do I have to bring a claim for unpaid wages?
A civil action to recover unpaid wages generally must be commenced within two years after the cause of action occurs.
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This is legal information, not legal advice. CiteLaw is not a law firm and does not represent you. For advice about your specific situation, consult a licensed attorney.
