Is it legal to change paydays?

Question

I work for a company that told me paydays were every other Friday. Over the last few months, I have been told that it's actually Saturday (the date on the check is always Friday's date) or been told that I could have my check on Friday but couldn't cash it until after 3pm. The reasons have varied...the owner is out of town and forgot to make a deposit, the GM's mother is dying so she can't deliver the checks, the owner deposited money Friday morning and it won't clear til after 3pm, etc, etc, etc.
It all sounds like bull, or at least like this store owner has no clue how to run a business.
Is this legal? If not, who do I report him to? I am tired of having to put my bills on hold until he decides to cover the pay I earned.

No notice was given that our payday was changing. When checks didn't arrive on Friday, our manager said "oh, that's b/c paydays are Saturday".
Also, this is a franchise restaurant and the manager makes daily deposits. The owner is just not transfer money to the payroll account in time to cover the paychecks.

Answer 1

The rules vary depending on the size of the company.

If there's only a dozen or so employees, the law is not as strict as if there is like 500 employees.

The person who briefed you on the company rules might not have known all the rules correctly ... you should ask the person who manages payroll, or personnel for what the rules are, if there is no firm rule.

AUnless you work in the accounting department of the company, you probably do not know how the bank accounts are organized. It is not unusual for a company to have more than one.

One account for buying and selling that which is associated with the normal running of the business.
One account with enough money in it to cover paychecks, vacation checks, whatever to employees.
One account with just enough in there for the various taxes that have to be paid.

After there is a payroll run, when they see the total $ for the week's paychecks, then they transfer a deposit into the payroll bank account to cover the latest toal ... and they need to do this several days before the paychecks are given to the employees, or you can also get direct deposit.

In theory sounds good ... the moment the money is supposed to go to you, instead of getting a paycheck, it is deposited in your checking account automatically that day ... YOU do not have to go to the bank, or check cashing place.

Well, depending on HOW they are doing that, you can be in a world of financial risk ... like if the money does not land in your bank account & you don't know it.

A company has the right to change the pay schedule, provided the employees are given a heads up ... ours used to be that at the end of each week we would get paycheck for the prior week, then they changed it to every 2 weeks, but they told us a few months in advance they were going to do this.

The US government recently changed some rules on banking, so that if they wait until Friday morning to make the deposit, the bank really truely might not have the funds available for a few days, but if they give you a paycheck dated Friday, you are legally allowed to deposit it on that same Friday.

But if it bounces because they waited until too late to deposit the money, they are going to be mad at you for withdrawing it before they told you it was Ok to do so.

There is also the question of whether the store is really making enough money to pay the wages and salaries of the people they hired. Maybe they are really losing money & you should be looking for another job, so you are not out in the cold when they declare bankrupsy.

Just be thankful you don't work for those school systems that are so underfunded that they use deficit spending.

We owe you for 4 weeks work.
Your pay check will have 2 weeks pay.
The other 2 weeks you will get next year, if the bond issue passes.

Answer 2

the reason they won't let you cash checks until after 3 PM Fridays is that the bank goes onto NEXT DAY'S WORK at 3 PM. This means that the transactions processed by the bank after 3 PM Fridays will post to accounts Monday, even though the bank is open to 5 PM or later. The employer can thus take advantage of what is called "float" in that he has use of the funds over the weekend even though he has given you a check dated Friday. Unfortunately, this is PERFECTLY LEGAL, as long as you are given the check dated Friday before midnight on Friday. If this is a problem, have the banking laws changed or change employers.

Answer 3

I once worked for a company that paid out checks on fridays after 2pm. I used to pick up my check at that time, cash it immediately and then go back to work (we worked evenings after 5 pm)

I agree with the person who said that your check should be able to be cashed IMMEDIATELY.

If that is not happening then the boss is juggling the finances and the company may be going down the tubes. You might want to think about "jumping ship" while you still can.

Answer 4

If the date on the check is Friday, you can cash it Friday. It is also not acceptable (by the bank) to post-date a check. That is giving you a check with tomorrow's date. If they don't want you to cash them until 3, they should give it to you after 3.
I don't know however if it is legal to change the date from friday to saturday without warning.

Answer 5

It is legal for an employer to choose pay time. It is probably in the companies best interest when they say these thing. They may be waiting for a payment from a customer to clear the bank so your payroll check doesn't bounce.

Answer 6

(In the U.S.) There should be a labor poster somewhere in your break area or bulletin board. One of the posters that is required to be posed is a notice of pay day. If the poster states that your pay day is Saturday's then they are doing everything correctly. They can change the pay day as long as they notify employees of a change and change the labor posting. I have worked places where they hold the checks until after 3pm on pay day. The time that they give you the checks can be in the afternoon as long as it is on the day that they post as being the pay day.

Answer 7

regrettably, as with many different artwork appropriate initiatives, there is not any regulation that defines the payday. So definite, he can replace it around. bear in strategies, there is not any regulation that announces you will possibly desire to get a ruin or lunch for the duration of artwork the two. Employment interior the U. S. isn't as risk-free, prepared and warranted as you will possibly like it to be.

Answer 8

legal, legal, legal

they sound like a small buisness, that may be having financial issues of there own.

I know it stinks,
you have 2 choices:
you can either deal with it or find a new job.

If it is money probs they are having you just might be out of a job soon anyway.

Good Luck!

Answer 9

Start looking for a new job.

Answer 10

afraid it is legal