Bill Text: OR HB2502 | 2013 | Regular Session | Introduced

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Bill Title: Relating to method of payment of wages.

Spectrum: Committee Bill

Status: (Failed) 2013-07-08 - In committee upon adjournment. [HB2502 Detail]

Download: Oregon-2013-HB2502-Introduced.html

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     77th OREGON LEGISLATIVE ASSEMBLY--2013 Regular Session

NOTE:  Matter within  { +  braces and plus signs + } in an
amended section is new. Matter within  { -  braces and minus
signs - } is existing law to be omitted. New sections are within
 { +  braces and plus signs + } .

LC 1676

                         House Bill 2502

Introduced and printed pursuant to House Rule 12.00. Presession
  filed (at the request of House Interim Committee on Revenue)

                             SUMMARY

The following summary is not prepared by the sponsors of the
measure and is not a part of the body thereof subject to
consideration by the Legislative Assembly. It is an editor's
brief statement of the essential features of the measure as
introduced.

  Authorizes employer to pay wages due employee through direct
deposit into employee's account or by other means of electronic
transfer.

                        A BILL FOR AN ACT
Relating to method of payment of wages; amending ORS 652.110.
Be It Enacted by the People of the State of Oregon:
  SECTION 1. ORS 652.110 is amended to read:
  652.110. (1) A person engaged in any business or enterprise of
any kind in this state may not issue, in payment of or as
evidence of indebtedness for wages due an employee, any order,
check, memorandum or other instrument of indebtedness unless the
instrument is negotiable and payable without discount in cash on
demand at some bank or other established place of business in the
county where the employee lives or works and where a sufficient
amount of funds have been provided and are or will be available
for the payment of the instrument when due. The person shall,
upon presentation and demand, pay the instrument in lawful money
of the United States.
  (2) This section does not in any way limit or interfere with
the right of any employee to accept from any person, as an
evidence or acknowledgment of indebtedness for wages due the
employee, a negotiable instrument, payable at some future date
with interest.
  (3)   { - An employer and an employee may agree to authorize
the employer to deposit without discount wages due the employee
in the employee's account in a financial institution, as defined
in ORS 706.008, in this state. - }  { +  An employer may pay
wages without discount through direct deposit of wages due to an
employee into the employee's account in a financial institution,
as defined in ORS 706.008, in this state or by automated teller
machine card, payroll card or other means of electronic transfer
if the employee may make an initial withdrawal of the entire
amount of net pay without cost to the employee. + }
    { - (4) An employer and an employee may agree that the
employer may pay wages through a direct deposit system, automated
teller machine card, payroll card or other means of electronic
transfer if the employee may: - }
    { - (a) Make an initial withdrawal of the entire amount of
net pay without cost to the employee; or - }
    { - (b) Choose to use another means of payment of wages that
involves no cost to the employee. - }
    { - (5) An agreement described in subsection (4) of this
section must be made in the language that the employer
principally uses to communicate with the employee. - }
    { - (6)(a) Except as provided in paragraph (b) of this
subsection, to revoke an agreement described in subsection (4) of
this section, an employee shall give the employer a written
notice of revocation of the agreement. Unless the employer and
employee agree otherwise, the agreement is revoked 30 days after
the date the notice is received by the employer. - }
    { - (b) To revoke an agreement described in subsection (4) of
this section, an employee who works for an employer as a seasonal
farmworker as defined in ORS 652.145 or an employee who is
employed in packing, canning, freezing or drying any variety of
agricultural crops shall give the employer notice of revocation
of the agreement either orally or in writing. Unless the employer
and the employee agree otherwise, the agreement is revoked 10
days after the date the notice is received by the employer. - }
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