CHAPTER 241
HB 350 –FINAL VERSION
06Apr2005… 0916h
06/09/05 1571s
29Jun2005… 2053eba
2005 SESSION
06/09
HOUSE BILL 350
AN ACT relative to enforcement of the labor protection statutes, permitting certain wage deductions, and increasing the civil penalty in the department of labor.
SPONSORS: Rep. Marshall Quandt, Rock 13; Rep. DeJoie, Merr 11
COMMITTEE: Labor, Industrial and Rehabilitative Services
This bill:
I. Empowers the commissioner to hold hearings and investigate charges of violations of the labor protection statutes either on his or her own motion or on an employee complaint.
II. Adds the department of labor as a party entitled to initiate a wage claim and extends the period in which to file a wage claim from 18 months to 36 months.
III. Allows voluntary deductions from wages for loans, accidental overpayments, tuition, and certain time off.
IV. Increases the civil penalty that the commissioner may impose from $1,000 to $2,500.
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Explanation: Matter added to current law appears in bold italics.
Matter removed from current law appears [in brackets and struckthrough.]
Matter which is either (a) all new or (b) repealed and reenacted appears in regular type.
06Apr2005… 0916h
06/09/05 1571s
29Jun2005… 2053eba
05-0614
06/09
STATE OF NEW HAMPSHIRE
In the Year of Our Lord Two Thousand Five
AN ACT relative to enforcement of the labor protection statutes, permitting certain wage deductions, and increasing the civil penalty in the department of labor.
Be it Enacted by the Senate and House of Representatives in General Court convened:
241:1 Enforcement; Employee Complaint Added. Amend RSA 275:51, I to read as follows:
I. The commissioner shall enforce and administer the provisions of this subdivision and the commissioner or [his] the commissioner’s authorized representatives are empowered, on his or her own motion or on an employee complaint, to hold hearings and otherwise to investigate charges of violations of this subdivision and to institute actions for penalties hereunder, and to entertain and adjudicate claims for wages due under the provisions of this subdivision.
241:2 Enforcement; Wage Claim; Department or Employee May File, Date Extended. Amend RSA 275:51, V to read as follows:
V. [If an employee elects to file a wage claim under this section, the wage claim must be filed with the department no later than 18] A wage claim may be filed by an employee or by the department on its own motion no later than 36 months from the date the wages were due. The commissioner shall notify the employer by serving upon the employer a copy of such claim and an order to file with the commissioner within 10 days from the receipt of such notice any objections to such claim specifying the grounds therefor. Service may be by certified mail with return receipt. If objection is not made within 10 days, the commissioner may order that payment be made in accordance with the claim. If requested, a hearing shall be afforded at which time any party may appear, with counsel if desired, and present evidence and cross-examine opposing witnesses. Any party, at the party’s own expense, may cause a record to be made of the hearing. A written decision shall be made within 30 days after the hearing stating the decision and specifying the facts and conclusions upon which the decision is based. If wages are found to be due, an order for payment shall issue. Any party aggrieved by the decision may appeal to the superior court not later than 20 days from the date thereof by petition, setting forth that the decision is erroneous, in whole or in part, and specifying the grounds upon which the decision is claimed to be in error. Upon the filing of an appeal, the commissioner shall transfer to the court the record of the proceeding or a certified copy thereof. The scope of review by the superior court shall be limited to questions of law. After hearing and upon consideration of the record, the court may affirm, vacate or modify in whole or in part the decision of the commissioner, or may remand the matter to the commissioner for further findings. In the absence of a seasonable appeal, the decision and order shall be final, shall be entered upon the docket of the superior court at the request of the prevailing party, may be enforced as a judgment of the court, and shall be a lien upon the property of the employer situated in the state for a period of 3 years from the time of the decision. It is a requirement of this chapter for purposes of RSA 275:52 that a final order be immediately satisfied by the employer.
241:3 New Subparagraphs; Withholding of Wages; Deductions Allowed. Amend RSA 275:48, I by inserting after subparagraph (d)(2) the following new subparagraphs:
(3) Voluntary installment payments of legitimate loans made by the employer to the employee as evidenced by a document that includes the following:
(A) The time the payments will begin and end.
(B) The amounts to be deducted.
(C) A specific agreement regarding whether the employer is allowed to deduct any amount outstanding from final wages at the termination of employment.
(4) Voluntary payments for the recovery of accidental overpayment of wages when the following conditions are met:
(A) The recovery is agreed to in writing.
(B) The deduction for the overpayment begins one pay period following the date the parties execute the written agreement.
(C) The written agreement specifies:
(i) The date the recovery of the overpayment will begin and end.
(ii) The amount to be deducted, which shall be agreed upon by the employer and the employee but which shall, in no event, be more than 20 percent of the employee’s gross pay in any pay period.
(iii) A specific agreement regarding whether the employer is allowed to deduct any amount outstanding from final wages at the termination of employment.
(5) Voluntary payments for the recovery of tuition for non-required educational costs paid by the employer for the employee to an educational institution when the specific deduction is authorized in writing prior to the deduction as evidenced by a document that includes the following:
(A) The time the payments will begin and end.
(B) The amounts to be deducted.
(C) A specific agreement regarding whether the employer is allowed to deduct any amount outstanding from final wages at the termination of employment.
241:4 New Subparagraph; Withholding of Wages; Deduction From Final Wages at Termination. Amend RSA 275:48, I by inserting after subparagraph (d) the following new subparagraph:
(e) The employer has a written request from the employee, made at the time of the original request without coercion or pressure, that authorizes the employer to deduct from the employee’s final wages at the termination of employment any amount the employee may owe for voluntary payments for vacation pay, paid time off pay, earned time pay, personal time pay, annual pay, sick pay, sick dependent pay, and bereavement pay made pursuant to a written employment policy as required by RSA 275:49, III, when the payments have been requested and paid to the employee in advance of eligibility.
241:5 Civil Penalties; Maximum Increased. Amend RSA 273:11-a, I to read as follows:
I. In addition to any criminal penalty provided under this title, the commissioner may, after hearing, impose a civil penalty not to exceed [$1,000] $2,500, as determined by the commissioner, for any violation of any of the provisions of this title or of any rule adopted pursuant to this title. Any person on whom a penalty is imposed under this section may appeal as provided in RSA 273:11-c and 273:11-d. All moneys collected under this section shall be deposited in the general fund.
241:6 Contingency. If HB 404 of the 2005 legislative session becomes law, then RSA 275:48, I(e) as inserted by section 4 of this act shall be renumbered as RSA 275:48, I(f).
241:7 Effective Date. This act shall take effect January 1, 2006.
(Approved: July 14, 2005)
(Effective Date: January 1, 2006)