The bill amends the existing law regulating the payment of wages and fringe benefits to employees in Michigan. It introduces new provisions that allow employers to pay wages through various methods, including direct deposit, payroll debit cards, and negotiable checks, while ensuring that these payments protect employees' earnings from garnishment as required by federal law. The bill specifies that employers cannot deposit wages into an employee's account or issue payroll debit cards without the employee's written consent, obtained without intimidation or coercion. Additionally, it mandates that employers provide employees with clear information regarding the terms and conditions of payroll debit cards, including any associated fees and the right to change payment methods.
Furthermore, the bill includes specific provisions for the Michigan National Guard, requiring them to pay servicemembers via direct deposit or electronic transfer from their first pay period. It also prohibits employers from charging employees any fees related to the payment methods outlined in the bill. The amendments aim to enhance transparency and protect employees' rights regarding wage payments, ensuring they have the freedom to choose their preferred payment method without fear of reprisal.
Statutes affected: House Introduced Bill: 408.476