Sick03Vert
Banned
So I just thought I'd get some opinions, maybe from some of the more "legally-informed" members as I know we have quite a few here:
Received notice from my employer today that they are requiring direct deposit effective immediately.
This doesn't really matter to me, as I've had direct deposit for years, but doesn't your employer have to give you the option of receiving cash or check as well? At least that's how I interpreted the DOL law on the matter:
"Section 30c Payment of Wages
30c00 Method of Payment
The payment of wages through direct deposit into an employee's bank account is an acceptable method of payment, provided employees have the option of receiving payment by cash or check directly from the employer. As an alternative, the employer may make arrangements for employees to cash a check drawn against the employer's payroll deposit account, if it is at a place convenient to their employment and without charge to them. (Field Operations Handbook, 12/9/88)"
Granted, in Texas, there is a state law that says:
"Texas Law on Direct Deposit of Wages
In 2003, Texas law was amended by HB 3308 to add a direct deposit provision to Section 61.017 of the Texas Payday Law. New subsection (c) provides that an employer may elect to pay wages via direct deposit to employees who maintain suitable bank accounts, as long as the employer gives at least 60 days' advance written notice of the adoption of the direct deposit wage payment system and obtains from the employees whatever information is required by their banks to commence such deposits. Direct deposit wage payment was already possible under the Texas Payday Law - the change was basically to make that option clear. However, the problem with the amendment is twofold:
1.
The state law does not overcome whatever objections the DOL and the EEOC may have toward such a system under the federal laws they enforce.
2.
The new provision allows direct deposit of wages for employees who already have bank accounts. It does not expressly state that an employer may require an employee who does not maintain a bank account to establish one. This ambiguity will probably leave many employers in doubt as to their position regarding direct deposit of wages."
So I'm curious, because our employer says you HAVE to have a bank account to get paid. No alternatives. ZERO. And it is effective TODAY. No notice.
Is that a legal implementation of direct deposit?
Thanks in advance. :beer:
Received notice from my employer today that they are requiring direct deposit effective immediately.
This doesn't really matter to me, as I've had direct deposit for years, but doesn't your employer have to give you the option of receiving cash or check as well? At least that's how I interpreted the DOL law on the matter:
"Section 30c Payment of Wages
30c00 Method of Payment
The payment of wages through direct deposit into an employee's bank account is an acceptable method of payment, provided employees have the option of receiving payment by cash or check directly from the employer. As an alternative, the employer may make arrangements for employees to cash a check drawn against the employer's payroll deposit account, if it is at a place convenient to their employment and without charge to them. (Field Operations Handbook, 12/9/88)"
Granted, in Texas, there is a state law that says:
"Texas Law on Direct Deposit of Wages
In 2003, Texas law was amended by HB 3308 to add a direct deposit provision to Section 61.017 of the Texas Payday Law. New subsection (c) provides that an employer may elect to pay wages via direct deposit to employees who maintain suitable bank accounts, as long as the employer gives at least 60 days' advance written notice of the adoption of the direct deposit wage payment system and obtains from the employees whatever information is required by their banks to commence such deposits. Direct deposit wage payment was already possible under the Texas Payday Law - the change was basically to make that option clear. However, the problem with the amendment is twofold:
1.
The state law does not overcome whatever objections the DOL and the EEOC may have toward such a system under the federal laws they enforce.
2.
The new provision allows direct deposit of wages for employees who already have bank accounts. It does not expressly state that an employer may require an employee who does not maintain a bank account to establish one. This ambiguity will probably leave many employers in doubt as to their position regarding direct deposit of wages."
So I'm curious, because our employer says you HAVE to have a bank account to get paid. No alternatives. ZERO. And it is effective TODAY. No notice.
Is that a legal implementation of direct deposit?
Thanks in advance. :beer: