Senate Study Bill 3047
SENATE/HOUSE FILE
BY (PROPOSED DEPARTMENT OF
WORKFORCE DEVELOPMENT
BILL)
Passed Senate, Date Passed House, Date
Vote: Ayes Nays Vote: Ayes Nays
Approved
A BILL FOR
1 An Act relating to circumstances for employees' right of recourse
2 when an employer is late paying wages.
3 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
4 TLSB 5438DP 82
5 ak/nh/8
PAG LIN
1 1 Section 1. Section 91A.3, subsection 3, paragraph b, Code
1 2 Supplement 2007, is amended to read as follows:
1 3 b. If the employer fails to send pay an employee's wages
1 4 for direct deposit on or by the regular payday in accordance
1 5 with this subsection, the employer is liable for the amount of
1 6 any overdraft charge if the overdraft is created on the
1 7 employee's account because of the employer's failure to send
1 8 pay the wages on or by the regular payday. The overdraft
1 9 charges may be the basis for a claim under section 91A.10 and
1 10 for damages under section 91A.8.
1 11 EXPLANATION
1 12 This bill expands the circumstances under which an
1 13 employee's overdraft charges that were caused by an employer's
1 14 failure to pay wages timely would be the basis for a wage
1 15 claim under Code chapter 91A to all failures to timely pay
1 16 wages rather than only failures to send wages for direct
1 17 deposit.
1 18 LSB 5438DP 82
1 19 ak/nh/8