Is There a Mandatory Time to Give Out Payroll Checks?
Most workers are accustomed to receiving their payroll checks on a certain day or date each month. Companies can determine when and how often to pay their employees, and there is no mandate that outlines the time those checks will be distributed.
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Frequency
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Individual companies determine when payroll checks are distributed to their employees. This can be on the first or last day of the month; every 15th and/or 30th day of the month; every Friday, or any other day of the week. The decision is at the sole discretion of the employer. Problems arise if the employer fails to pay its workers altogether.
Regulations
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The United States Department of Labor’s Wage and Hour Division administers and enforces most of the standards regarding wages that are paid to employees. The Fair Labor Standards Act outlines the provisions. States also provide oversight of wage issues. If an employer fails to pay its workers, the state labor department in which they do business or the U.S. Department of Labor may step in to review and even sanction the company.
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Workers’ Rights
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Employees who are not paid by their employers have the right to file a complaint with their state labor department and the U.S. Department of Labor. The agencies can contact the employer to learn why the employee was not paid. This intervention is sometimes enough to make an employer pay the worker. In some states, like Indiana, the labor department may sue the employer on the worker’s behalf to recover the missing wages. If the employee files a complaint and is fired by the employer, he can file a lawsuit or the U.S. Secretary of Labor may file a suit on his behalf seeking reinstatement of his job, back wages and monetary damages.
In-House Resolution
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A worker who does not receive a paycheck should consider speaking to her employer about the issue before filing a complaint. The case may simply be an oversight on the employer’s part. By choosing to resolve the situation in-house, the worker can avoid legal battles.
Final Paycheck
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Just as employers do not have to pay their employees at a certain time, they do not have to give them their final paycheck immediately. The labor department notes, however, that some states can require that the final check be disbursed immediately. Workers who do not receive their final paycheck after the regular pay period in which they worked has passed should contact the Department of Labor's Wage and Hour Division or the state labor department.
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References
Resources
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