HOUSE BILL NO. 1745 103RD GENERAL ASSEMBLY
INTRODUCED BY REPRESENTATIVE MILLER.
3899H.01I JOSEPH ENGLER, Chief Clerk
AN ACT To repeal section 290.527, RSMo, and to enact in lieu thereof one new section relating to additional requirements for employees filing certain employment complaints, with penalty provisions.
Be it enacted by the General Assembly of the state of Missouri, as follows:
Section A. Section 290.527, RSMo, is repealed and one new section enacted in lieu 2 thereof, to be known as section 290.527, to read as follows: 290.527. 1. Any employer who pays any employee less wages than the wages to 2 which the employee is entitled under or by virtue of sections 290.500 to 290.530 shall be 3 liable to the employee affected for the full amount of the wage rate and an additional amount 4 equal to twice the unpaid wages as liquidated damages, less any amount actually paid to the 5 employee by the employer and for costs and such reasonable [attorney] attorney's fees as 6 may be allowed by the court or jury. The employee may bring any legal action necessary to 7 collect the claim, subject to the provisions of subsections 2, 3, 4, and 5 of this section. Any 8 agreement between the employee and the employer to work for less than the wage rate shall 9 be no defense to the action. All actions for the collection of any deficiency in wages shall be 10 commenced within three years of the accrual of the cause of action. 11 2. (1) For all employee-initiated complaints relating to a violation of the state 12 minimum wage or overtime laws arising on or after January 1, 2027, as a jurisdictional 13 condition precedent to filing a civil action governing the subject matter of the complaint 14 for such causes, any employee who claims to be aggrieved by a violation of the state 15 minimum wage or overtime laws shall first file a complaint with the department on a
EXPLANATION — Matter enclosed in bold-faced brackets [thus] in the above bill is not enacted and is intended to be omitted from the law. Matter in bold-face type in the above bill is proposed language. HB 1745 2
16 form and in a manner provided by the department and within the time limits prescribed 17 for the alleged violation, as provided under subsections 2, 3, 4, and 5 of this section. 18 (2) The complaint shall include all pay periods for which the employee alleges 19 the violation. The complaint shall include pay stubs and time sheets as supporting 20 evidence that provides the basis for the complaint. Other relevant documentation may 21 be included or supplemented as evidence at the employee's discretion or as required by 22 the department or the division of labor standards. Only evidence submitted at the time 23 of the complaint shall be considered unless the employee needs to obtain documents 24 from the employer or as required as part of the investigation. 25 (3) All pay periods ending before the date of filing that are omitted from the 26 complaint shall be deemed to be in compliance and the employee waives any right to a 27 future complaint for omitted pay periods predating the complaint filing date arising 28 from the same alleged violation, to the extent allowed by the Fair Labor Standards Act 29 of 1938, as amended, and its accompanying regulations and guidelines; Title VII of the 30 Civil Rights Act of 1964, as amended, and its accompanying regulations and guidelines; 31 29 CFR Chapter V; 29 CFR Chapter XIV; or any other state or federal law or 32 regulation, or from providing any corroborating documentation to obtain such waiver 33 unless authorized to do so by a court. 34 3. (1) Upon receipt of a complaint made under subsection 2 of this section, the 35 department shall investigate the allegations contained within the complaint and issue an 36 investigative report containing the findings of underpayment and liquidated damages as 37 provided under this chapter or by general law for the violation at issue, if applicable. 38 (2) The department shall complete its investigation within ninety days of 39 receiving the complaint, unless an extension is agreed upon by both the complainant 40 employee and the employer, and shall issue the investigative report containing the 41 department's findings and conclusions to both parties. 42 (3) If the department is unable to resolve the dispute, the complainant employee 43 is dissatisfied with the department's findings, or the complainant employee is 44 dissatisfied with and rejects the employer's offer of settlement within the time frames 45 provided under subsection 4 of this section, the department shall issue a "right to sue" 46 notice to the complainant employee to allow the employee to proceed with filing a 47 lawsuit in court under the provisions of this section, chapter, or other applicable 48 provisions of law for the alleged violation at issue. The "right to sue" notice shall 49 specify and be limited to the issues and violations indicated in the complaint. 50 (4) The employee shall have thirty days from the date of his or her receipt of the 51 "right to sue" notice to file a cause of action or suit in circuit court. Failure to do so HB 1745 3
52 shall result in the waiver of the employee's right to file a cause of action or suit for the 53 alleged violation or violations. 54 4. (1) An employer may make an offer of settlement to the complainant 55 employee in exchange for terminating the complaint made under subsections 2 and 3 of 56 this section and a dismissal of such complaint with prejudice by the department. The 57 employer shall have thirty days from the date of receipt of the department's 58 investigative report containing the department's findings and conclusions to make an 59 offer of settlement to the employee. 60 (2) The employee shall have thirty days to consider the offer of settlement and 61 accept, reject, or make a counter-offer of settlement to the employer, after the 62 department has issued its investigative report findings or before the "right to sue" letter 63 has been issued. Each party shall have thirty days to respond to any counter-offers of 64 settlement made by the other party, except that if no settlement agreement is reached 65 within one hundred eighty days from the date that the investigative report and its 66 findings were issued, the department shall issue a "right to sue" notice to the employee 67 and close the administrative file. 68 (3) Acceptance of the offer or counter-offer of settlement shall result in the 69 waiver of the employee's right to sue for the specific violations alleged in the original 70 complaint. If the employee rejects the settlement offer and all additional counter-offers, 71 or takes no action within the time period allowed for consideration of an offer or 72 counter-offer of settlement, or if a settlement agreement cannot be reached within the 73 one-hundred-eighty-day period after the department's investigative report and findings 74 were issued, the department shall issue a "right to sue" notice and the employee may 75 proceed in circuit court. 76 (4) The department shall administer the settlement process and, upon valid 77 acceptance of a settlement offer or counter-offer by both parties, shall issue a notice of 78 dismissal with prejudice stating that the employee has waived all rights to bring suit for 79 the specific violations alleged in the complaint and contained within the accepted offer 80 of settlement. 81 5. Records of the department's investigation and any settlement agreements 82 negotiated during administrative investigation through the duration of the complaint 83 process may be released to a requesting party after obtaining written consent from both 84 the complainant employee and the employer, or from their respective representatives. 85 6. (1) Any employer found to have violated the provisions of this section shall be 86 subject to penalties as provided by law including, but not limited to, fines, restitution, 87 and other remedies as deemed appropriate by the court. HB 1745 4
88 (2) Any employee who files suit without first filing a complaint with the 89 department, as required by subsections 2, 3, and 4 of this section, shall have such suit 90 dismissed without prejudice and be required to compensate the employer for all legal 91 fees and associated costs incurred as a result of noncompliance as determined by the 92 court. 93 (3) If an employee files suit after receipt of a "right to sue" notice and the court 94 finds that the damages awarded are equal to or less than the greater of the department's 95 finding or the employer's offer of settlement, subject to the applicability of the rules of 96 evidence, the employee shall be liable for all costs incurred by both parties in association 97 with the suit. 98 7. The department may promulgate all necessary rules and regulations for the 99 administration of this section. Any rule or portion of a rule, as that term is defined in 100 section 536.010, that is created under the authority delegated in this section shall 101 become effective only if it complies with and is subject to all of the provisions of chapter 102 536 and, if applicable, section 536.028. This section and chapter 536 are nonseverable 103 and if any of the powers vested with the general assembly pursuant to chapter 536 to 104 review, to delay the effective date, or to disapprove and annul a rule are subsequently 105 held unconstitutional, then the grant of rulemaking authority and any rule proposed or 106 adopted after August 28, 2026, shall be invalid and void. ✔
Statutes affected: