• Amendment of the Michigan Payment of Wages and Fringe Benefits Act to Permit the Payment of Payroll By Mandatory Direct Deposit or Payroll Debit Card
  • January 31, 2011 | Author: Gary W. Klotz
  • Law Firm: Butzel Long - Detroit Office
  • For years, the Michigan Payment of Wages and Fringe Benefits Act lagged behind the technologies available for how to pay employees. Specifically, unlike various other states’ payment of wages statutes, the Michigan Act did not permit Michigan employers to require employees to receive their pay by direct deposit. Instead, an employee’s consent to direct deposit had to be voluntary, and if an employee did not consent to direct deposit, then the employer had to issue a paper check to the employee.