REVISE MONTHLY PAYDAY PAYMENT

House Bill 5235 as introduced

Sponsor:  Rep. Steve Marino

Committee:  Commerce and Trade

Complete to 12-4-17

SUMMARY:

House Bill 5235 would amend Act 390 of 1978, which regulates the time and manner for payment of wages and fringe benefits to employees, to change the time frame in which wages must be paid to employees who are on a monthly pay period.

Currently under the act, an employer who has established a monthly payday is in compliance with the act if the employer pays to the employee on or before the first day of each calendar month all wages earned during the preceding calendar month.

Under the bill, an employer who has established a monthly pay period would be in compliance with the act if the employer pays to the employee within 16 days after the end of a monthly pay period all wages earned during the monthly pay period.

The bill would take effect 90 days after being enacted into law.

MCL 408.472

FISCAL IMPACT:

House Bill 5235 does not appear to have a fiscal impact on any unit of state or local government.

                                                                                        Legislative Analyst:   Patrick Morris

                                                                                                Fiscal Analyst:   Marcus Coffin

■ This analysis was prepared by nonpartisan House Fiscal Agency staff for use by House members in their deliberations, and does not constitute an official statement of legislative intent.