Introduced by Senator MacDonald of Orange District
Subject: Labor; payment; wages; employer responsibility; check cashing fee
Statement of purpose: This bill proposes to require employers to pay any check cashing fees for wage checks cashed at the issuing bank.
AN ACT RELATING TO FEES FOR CASHING WAGE CHECKS
It is hereby enacted by the General Assembly of the State of Vermont:
Sec. 1. 21 V.S.A. § 342 is amended to read:
§ 342. WEEKLY PAYMENT OF WAGES; FEE ON WAGE CHECK
person having employees in his service employer doing and , in lawful money or checks ,
to each of his employees, employee the wages earned by such
the such payment.
giving Notwithstanding subsection (a) of this section, if an employer gives
written notice to his or her employees, any person having employees
in his service an employer doing and transacting business within the
state may , notwithstanding subsection (a) of this section, pay bi-weekly
or semi-monthly in lawful money or checks , each of his employees,
employee the wages earned by the employee to a day not more than six
days prior to the date of the payment. If a collective bargaining agreement so
provides, the payment of wages may be made to a day not more than
13 days prior to the date of payment.
An employee who voluntarily:
(1) Voluntarily leaves
his employment shall be paid on the last regular pay day, or if there is
no regular pay day, on the following Friday.
employee who is Is discharged from employment shall be paid within
72 hours of his discharge.
an employee is Is absent from his the regular place of
employment on the employer's regular scheduled date of wages or salary payment such
employee shall be entitled to such payment upon demand.
(d) With the written authorization of an employee, an employer may pay wages due the employee by deposit through electronic funds transfer or other direct deposit systems to a checking, savings, or other deposit account maintained by the employee in any financial institution within or without the state.
(e) An employer doing business within this state who pays wages to employees by check shall assure that no employee is required to pay any fee for cashing the wage check at the financial institution, as defined in 8 V.S.A. § 10202(5), that holds the funds for payment of that check.
The Vermont General Assembly
115 State Street