Bill Text: MI HB5085 | 2011-2012 | 96th Legislature | Introduced
Bill Title: Campaign finance; contributions and expenditures; certain payroll deduction plans used to collect a contribution; prohibit. Amends sec. 7 of 1978 PA 390 (MCL 408.477).
Spectrum: Partisan Bill (Republican 2-0)
Status: (Passed) 2012-02-29 - Assigned Pa 30'12 With Immediate Effect [HB5085 Detail]
Download: Michigan-2011-HB5085-Introduced.html
HOUSE BILL No. 5085
October 18, 2011, Introduced by Reps. Shirkey and Opsommer and referred to the Committee on Redistricting and Elections.
A bill to amend 1978 PA 390, entitled
"An act to regulate the time and manner of payment of wages and
fringe benefits to employees; to prescribe rights and
responsibilities of employers and employees, and the powers and
duties of the department of labor; to require keeping of records;
to provide for settlement of disputes regarding wages and fringe
benefits; to prohibit certain practices by employers; to prescribe
penalties and remedies; and to repeal certain acts and parts of
acts,"
by amending section 7 (MCL 408.477), as amended by 1995 PA 278.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec. 7. (1) Except for those deductions required or expressly
permitted by law or by a collective bargaining agreement, an
employer shall not deduct from the wages of an employee, directly
or indirectly, any amount including an employee contribution to a
separate segregated fund established by a corporation or labor
organization under section 55 of the Michigan campaign finance act,
Act
No. 388 of the Public Acts of 1976, being section 169.255 of
the
Michigan Compiled Laws, 1976
PA 388, MCL 169.255,
without the
full, free, and written consent of the employee, obtained without
intimidation or fear of discharge for refusal to permit the
deduction. However, an employer that is a public body, as defined
in section 11 of the Michigan campaign finance act, 1976 PA 388,
MCL 169.211, shall not deduct, directly or indirectly, any amount
from an employee's wages for a contribution to a separate
segregated fund established under section 55 of the Michigan
campaign finance act, 1976 PA 388, MCL 169.255.
(2) Except as provided in this subsection and subsection (4),
a deduction for the benefit of the employer requires written
consent from the employee for each wage payment subject to the
deduction, and the cumulative amount of the deductions shall not
reduce the gross wages paid to a rate less than minimum rate as
defined
in the minimum wage law of 1964, Act No. 154 of the Public
Acts
of 1964, being sections 408.381 to 408.398 of the Michigan
Compiled
Laws. 1964 PA 154, MCL
408.381 to 408.398. A nonprofit
organization shall obtain a written consent from an employee for
deductions to that nonprofit organization that qualify as
charitable contributions under federal law. However, this
subsection does not require the nonprofit organization to obtain
from an employee a separate written consent for each subsequent
paycheck from which deductions that qualify as charitable
contributions that benefit the employer are made. An employee at
any time may rescind in writing his or her authorization to have
charitable contributions deducted from his or her paycheck. As used
in this subsection, "nonprofit organization" means an organization
that is exempt from taxation under section 501(c)(3) of the
internal revenue code, 26 USC 501(c)(3).
(3) Each deduction from the wages of an employee shall be
substantiated in the records of the employer and shall be
identified as pertaining to an individual employee. Prorating of
deductions between 2 or more employees is not permitted.
(4) Within 6 months after making an overpayment of wages or
fringe benefits that are paid directly to an employee, an employer
may deduct the overpayment from the employee's regularly scheduled
wage payment without the written consent of the employee if all of
the following conditions are met:
(a) The overpayment resulted from a mathematical
miscalculation, typographical error, clerical error, or misprint in
the processing of the employee's regularly scheduled wages or
fringe benefits.
(b) The miscalculation, error, or misprint described in
subdivision (a) was made by the employer, the employee, or a
representative of the employer or employee.
(c) The employer provides the employee with a written
explanation of the deduction at least 1 pay period before the wage
payment affected by the deduction is made.
(d) The deduction is not greater than 15% of the gross wages
earned in the pay period in which the deduction is made.
(e) The deduction is made after the employer has made all
deductions expressly permitted or required by law or a collective
bargaining agreement, and after any employee-authorized deduction.
(f) The deduction does not reduce the regularly scheduled
gross wages otherwise due the employee to a rate that is less than
the greater of either of the following:
(i) The minimum rate as prescribed by subsection (2).
(ii) The minimum rate as prescribed by the fair labor standards
act
of 1938, chapter 676, 52 Stat. 1060, 29 U.S.C. USC
201 to 216
and 217 to 219.
(5) An employee who believes his or her employer has violated
subsection (4) may file a complaint with the department within 12
months after the date of the alleged violation.
(6) As used in this section, "employer" means an individual,
sole proprietorship, partnership, association, or corporation,
public or private, this state or an agency of this state, a city,
county, village, township, school district, or intermediate school
district, an institution of higher education, or an individual
acting directly or indirectly in the interest of an employer who
employs 1 or more individuals.
