MONEY NETWORK CHECKS AND PAYROLL DEBIT CARDS
I received my final pay in a Pay Kit - a kit with a debit (ATM) card and blank money network checks, is this lawful?
In 2008, the California Division of Labor Standards and Enforcement ("DLSE") issued two opinion letters regarding the appropriateness of using "Money Network Checks" and "payroll debit cards" under California law (and specifically California Labor Code Sec. 212). An employer may pay wages through Money Network Checks and/or payroll debit cards (also sometimes called a Pay Kit, ADP Pay Kit) provided certain conditions are met. Most importantly among these requirements is that the employee is provided a choice (i.e., use of the Pay Kit CANNOT be mandatory). If you have been paid in this manner and have questions, please feel free to contact us for a free consultation at (310) 882-6407 or you can email us at admin@cmlegal.com.