House Bill No. 7197, titled "An Act Requiring Paycheck Transparency," mandates that employers provide their employees with clear and accessible information regarding their pay. Specifically, the bill requires employers to furnish a written or electronically accessible record of hours worked, gross earnings (with separate entries for straight time and overtime), itemized deductions, and net earnings with each wage payment. Notably, the bill introduces new provisions that require employers to create a guide for pay codes used in these records, which must be posted on the employer's website in multiple languages, including English and Spanish. This guide should explain the various pay codes, such as those for overtime and differentials, and include contact information for addressing employee disputes related to pay calculations.

Additionally, the bill stipulates that employers must update the pay code guide whenever a new code is added and include a link to this guide on each record of hours provided to employees. Upon hiring, employers are also required to give a detailed explanation of the relevant pay codes for the employee's position, including definitions for each code. The effective date for these changes is set for October 1, 2025. The bill repeals the existing Section 31-13a of the general statutes and replaces it with the new requirements outlined above.

Statutes affected:
Raised Bill: 31-13a
LAB Joint Favorable: 31-13a
File No. 525: 31-13a