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 tosendpay an employee's wages 1 4for direct depositon 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 tosend1 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