Senate File 2222 - Enrolled

PAG LIN



  1  1                                             SENATE FILE 2222
  1  2
  1  3                             AN ACT
  1  4 RELATING TO PAYMENT OF WAGES.
  1  5
  1  6 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
  1  7
  1  8    Section 1.  Section 91A.3, subsection 3, paragraph a,
  1  9 unnumbered paragraph 1, Code Supplement 2007, is amended to
  1 10 read as follows:
  1 11    The wages paid under subsection 1 shall be sent to the
  1 12 employee by mail or be paid at the employee's normal place of
  1 13 employment during normal employment hours or at a place and
  1 14 hour mutually agreed upon by the employer and employee, or the
  1 15 employee may elect to have the wages sent for direct deposit,
  1 16 on or by the regular payday of the employee, into a financial
  1 17 institution designated by the employee.  Upon written request
  1 18 by the employee, wages due may be sent to the employee by
  1 19 mail.  The employer shall maintain a copy of the request for
  1 20 as long as it is effective and for at least two years
  1 21 thereafter.  An employee hired on or after July 1, 2005, may
  1 22 be required, as a condition of employment, to participate in
  1 23 direct deposit of the employee's wages in a financial
  1 24 institution of the employee's choice unless any of the
  1 25 following conditions exist:
  1 26    Sec. 2.  Section 91A.3, subsection 3, paragraph b, Code
  1 27 Supplement 2007, is amended to read as follows:
  1 28    b.  If the employer fails to send pay an employee's wages
  1 29 for direct deposit on or by the regular payday in accordance
  1 30 with this subsection, the employer is liable for the amount of
  1 31 any overdraft charge if the overdraft is created on the
  1 32 employee's account because of the employer's failure to send
  1 33 pay the wages on or by the regular payday.  The overdraft
  1 34 charges may be the basis for a claim under section 91A.10 and
  1 35 for damages under section 91A.8.
  2  1
  2  2
  2  3                                                             
  2  4                               JOHN P. KIBBIE
  2  5                               President of the Senate
  2  6
  2  7
  2  8                                                             
  2  9                               PATRICK J. MURPHY
  2 10                               Speaker of the House
  2 11
  2 12    I hereby certify that this bill originated in the Senate and
  2 13 is known as Senate File 2222, Eighty=second General Assembly.
  2 14
  2 15
  2 16                                                             
  2 17                               MICHAEL E. MARSHALL
  2 18                               Secretary of the Senate
  2 19 Approved                , 2008
  2 20
  2 21
  2 22                                
  2 23 CHESTER J. CULVER
  2 24 Governor