Bill Text - SB100 (2013)

Authorizing electronic payment of payroll.


Revision: Jan. 25, 2013, midnight

SB 100 –AS INTRODUCED

2013 SESSION

13-0906

06/05

SENATE BILL 100

AN ACT authorizing electronic payment of payroll.

SPONSORS: Sen. Bradley, Dist 3; Rep. Chandler, Carr 1; Rep. Umberger, Carr 2; Rep. Butler, Carr 7

COMMITTEE: Commerce

ANALYSIS

This bill:

I. Deletes the requirement that an employer who pays wages by electronic fund transfer offer employees the option of being paid by check.

II. Modifies the definition of “payroll card account.”

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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Matter which is either (a) all new or (b) repealed and reenacted appears in regular type.

13-0906

06/05

STATE OF NEW HAMPSHIRE

In the Year of Our Lord Two Thousand Thirteen

AN ACT authorizing electronic payment of payroll.

Be it Enacted by the Senate and House of Representatives in General Court convened:

1 Definitions; Payroll Card Account. Amend RSA 275:42, IX to read as follows:

IX. “Payroll card account” means an account directly or indirectly established by an employer on behalf of an employee to which electronic fund transfers of the employee’s wages, salary, or other employee compensation are made on a recurring basis. An employer shall use a payroll card that provides the employee his or her wages, salary, or other employee compensation at no charge to the employee. A payroll card account does not include a savings account or a demand deposit account at a financial institution and shall be subject to Regulation E, 12 C.F.R. part 205. Disclosures, periodic statements, or alternatives to periodic statements; notices; error resolution procedures; and limitations on liability, with respect to payroll cards, shall be in accordance with the federal Electronic Fund Transfer Act, 15 U.S.C. section 1693 et seq., and its implementing regulation, Regulation E, 12 C.F.R. part 205.

2 Payment of Wages. Amend RSA 275:43, I(e) to read as follows:

(e) With checks on a financial institution convenient to the place of employment where suitable arrangements are made for the cashing of such checks by employees for the full amount of the wages due[; provided, however, that if an employer elects to pay employees as specified in subparagraphs (b), (c), or (d), the employer shall offer employees the option of being paid as specified in subparagraph (e), and further], provided that all wages in the nature of health and welfare fund or pension fund contributions required pursuant to a health and welfare fund trust agreement, pension fund trust agreement, collective bargaining agreement, or other agreement adopted for the benefit of employees and agreed to by the employer shall be paid by every such employer within 30 days of the date of demand for such payment, the payment to be made to the administrator or other designated official of the applicable health and welfare or pension trust fund.

3 Effective Date. This act shall take effect 60 days after its passage.