I work for a rather large international company that normally has our paychecks delivered to the store every other Friday by Fed Ex. The pay schedule for the entire organization is every other Friday. Last week they launched a new policy that in order to cut costs, they will be sending the paychecks via US Postal service and would not guarantee delivery by payday. They are urging everyone to get on direct deposit in order to avoid any inconvenience of late checks, and I have direct deposit already so this doesn't affect me at all....but I was just wondering if this policy can be legal! Aren't they required by federal law to pay employees on a regularly scheduled date at least once a month? Or does it just matter that the checks are cut on a regularly scheduled date despite when associates may actually be receiving them? I just thought I'd ask...it sure didn't sound right to me...any info would be greatly appreciated.
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Scheduled day of pay??? Oregon
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There are plenty of companies that use the US mail to send paychecks, and the company is not responsible for what the US mail does. Patty or CMorgan can correct me if I'm wrong, but I believe that as long as the company can show that the check was put into the mail by the scheduled pay date, they are in the clear since they have no way to control the mail delivery.
And no, there is no Federal law regarding frequency of pay. Any regulations regarding frequency of pay are state specific.The above answer, whatever it is, assumes that no legally binding and enforceable contract or CBA says otherwise. If it does, then the terms of the contract or CBA apply.
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In most states, cbg, that is correct. Very few states have laws that mandate the details of the method in which paychecks are delivered. You can bet that a company as big as FedEx or UPS have compliance people who have checked this up one side and down the other.I don't respond to Private Messages unless the moderator specifically refers you to me for that purpose. Thank you.
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