Using payroll cards to pay employees is an increasingly popular replacement for traditional checks. In fact, 19 states now use these cards to pay state workers who don’t use direct deposit. And while some of these cards provide employees with easy and affordable access to their funds, most are merely adequate, and some exorbitant fees that can eat into users’ finances. [More]
payroll cards
Forcing McDonald’s Workers To Accept Wages On Debit Cards Not Okay In PA, Says Judge
By 6.2.15
Two years ago, a Pennsylvania woman sued her former employers at McDonald’s because they forced her and other workers to accept their wages on fee-laden prepaid debit cards. Though the fast food franchisee, who runs 16 McDonald’s, later changed this policy, the lawsuit continued to move forward, and last week a judge ruled against the franchisee’s claims that the debit card requirement was completely legal. [More]
Illinois Law Allows Employers To Offer Payroll Cards In Lieu Of Paychecks, Only Limits Some Fees
By 8.6.14
UPDATE: Employees in Illinois now have the option to receive their pay through payroll cards. Governor Pat Quinn officially signed into law today a bill that allows employers to offer the popular, but scrutinized form of payment on a voluntary basis. [More]
More Than 286K People Ask McDonald’s To Stop Franchisees From Paying Employees With Debit Cards
By 7.17.13
A month after an ex-McDonald’s worker in Pennsylvania sued her former employers because they required that all employees receive their pay via a fee-laden Chase prepaid debit card, she has put together a petition asking McDonald’s leadership to put an end to the practice at McDonald’s nationwide. [More]
New York Attorney General Investigating Walmart, Home Depot, Others Over Prepaid Payroll Cards
By 7.3.13
Though it’s been a point of concern with employee-rights advocates for years, the use of prepaid debit cards as a substitute for traditional payroll checks is finally getting attention from the powers that be, with the New York state attorney general’s office investigating the practice at some of the nation’s largest employers. [More]
