08-15-2006, 08:11 AM
To make a long story short ... our employee handbook says that paychecks can be picked up on a certain day between certain times. If employees cannot make it during those times, they have to wait until the following week during specified times to pick up their paychecks.
My boss recently came to me and said we are handling this wrong and that as soon as the paychecks enter the building, we need to get them out to the employees ASAP regardless of what the handbook says. Is that correct?
08-15-2006, 09:04 AM
Payday is payday. If the company policy is between XX hours, then that is what you do.
However, the policy of "waiting until the following payday" is eventually going to get you into trouble. The employee could very easily file a complaint with the Dept. of Labor if he is not paid within the specified number of days following the end of the pay period (which is 15 days for most employers). Why would you not release the check when the employee returns to work?
OTOH, it's a good way to promote direct deposit. ;)
Your boss is correct that you are handling it wrong and incorrect that they have to be given to the employees as soon as the checks arrive.
There is nothing wrong with a policy that check can be picked up between, say, 1:00 and 4:00 on payday. However, if the employee is unable to pick it up during those hours for whatever reason, holding the check until the next payday is a big no-no. Put them in the mail; give them to the employee's manager to be given to the employee when they are next in the building, have a second pickup time, but do NOT hold them a full pay period.
Which is essentially what Patty said. :D
08-15-2006, 10:11 AM
We don't hold the paychecks until the following payday. We get paid bi-weekly and paychecks are available to be picked up on Friday from 12-5 p.m. If they do not get there on Friday, checks are then available again beginning the following Monday from 9 a.m. to 5 p.m. and continue to be available the rest of the week from 9 a.m. to 5 p.m. If I explained it incorrectly with my first post .... sorry.
I don't see a problem with that, then, do you, Patty?
08-15-2006, 10:51 AM
Nope, I don't. I would still try to use this as a chance to promote direct deposit though, assuming you offer it.
08-15-2006, 11:09 AM
No, we do not offer direct deposit. Being a non-profit organization and looking into the cost of it (both from the bank and the accounting firm that does our payroll), upper management decided not to persue it. Our employees however would love to have direct deposit.