Recently, the practice of paying employees via payroll debit cards came under fire when an employee filed a class action lawsuit against her employer, a McDonalds’ franchisee, alleging that payment of wages via a Chase Payroll Card violated the Pennsylvania Wage Payment and Collection Law (“PWPCL”). The employee claimed that the card’s fees cut into her wages, potentially bringing her pay below minimum wage, and that she and other class members were not being “paid in lawful money” as required by the PWPCL. The case currently is pending in Luzerne County, Pennsylvania.
As demonstrated by the lawsuit recently filed in Luzerne County, it remains unclear whether the use of such cards complies with Pennsylvania law.
Continue Reading Taking the Check Out of Paycheck: The Legality of Payroll Debit Cards