More Disclosure Would Ensure Fair Pay
TRENTON – The Senate on Thursday approved a bill sponsored by Senate Majority Leader Loretta Weinberg that would require employers to more fully document paycheck information to help make sure workers are receiving the pay they are entitled to.
The legislation, S-1791, would have employers include on paychecks the workers’ gross wages, net pay, the rate of pay and, for those who are paid hourly wages, the number of hours worked during the pay period.
“Requiring the disclosure of gross wages, net wages, rate of pay, and the number of hours on which wages are calculated would provide transparency and clarity for employees in determining whether they’re being paid what they’re owed,” said Senator Weinberg. “It will also help them determine whether their payment is in compliance with labor laws, especially those that are the most well-known such as the minimum wage or overtime. This will increase employer accountability and protect employees from unintentional payment errors or intentional wage theft.”
The bill would apply to both public and private employers with at least 10 employees and would allow the information to be provided electronically or on paper.
Current law requires employers to provide each employee with a statement of all deductions made from their wages.
Illinois, Oregon, Maryland, Minnesota, California, Hawaii, and New York have laws similar to this bill and Alaska, Colorado, Delaware, Massachusetts, Maine, New Mexico, Nevada, Pennsylvania, Texas, Vermont, and Washington, have some of the provisions that are included in this bill in their laws.
The Senate vote was 37-0.