PRIOR PRINTER'S NO. 1954 PRINTER'S NO. 3572
No. 1598 Session of 1987
INTRODUCED BY BELFANTI, COHEN, MORRIS, KOSINSKI, KUKOVICH, LEVDANSKY, JOSEPHS, PISTELLA, MICHLOVIC, VEON, TRUMAN, PETRARCA AND ITKIN, JUNE 23, 1987
AS REPORTED FROM COMMITTEE ON LABOR RELATIONS, HOUSE OF REPRESENTATIVES, AS AMENDED, JUNE 28, 1988
AN ACT 1 Amending the act of July 14, 1961 (P.L.637, No.329), entitled 2 "An act relating to the payment of wages or compensation for 3 labor or services; providing for regular pay days; conferring 4 powers and duties upon the Department of Labor and Industry, 5 including powers and duties with respect to the civil 6 collection of wages; providing civil and criminal penalties 7 for violations of the act; providing for their collection and 8 disposition and providing for additional civil damages," 9 further providing for regular payday and enforcement; and 10 imposing a duty on successor employers to pay back wages. 11 The General Assembly of the Commonwealth of Pennsylvania 12 hereby enacts as follows: 13 Section 1. Section 3(a) of the act of July 14, 1961 14 (P.L.637, No.329), known as the Wage Payment and Collection Law, 15 amended July 14, 1977 (P.L.82, No.30), is amended to read: 16 Section 3. Regular Payday.--(a) Wages other than fringe 17 benefits and wage supplements. Every employer shall pay all 18 wages, other than fringe benefits and wage supplements, due to 19 his employes on regular paydays designated in advance by the 20 employer. Overtime wages may be considered as wages earned and 21 payable in the next succeeding pay period. All wages, other than
1 fringe benefits and wage supplements, earned in any pay period 2 shall be due and payable within [the number of days after the 3 expiration of said pay period as provided in a written contract 4 of employment or, if not so specified, within the standard time 5 lapse customary in the trade or within 15] seven EIGHT days from <-- 6 the end of such pay period. The wages shall be paid in lawful 7 money of the United States or check, except that deductions 8 provided by law, or as authorized by regulation of the 9 Department of Labor and Industry for the convenience of the 10 employe, may be made including deductions of contributions to 11 employe benefit plans which are subject to the Employee 12 Retirement Income Security Act of 1974, 29 U.S.C. § 1001 et seq. 13 * * * 14 Section 2. The act is amended by adding a section to read: 15 Section 6.1. Successor Employer's Duty to Pay Back Wages.--A 16 successor employer shall be responsible financially, upon the 17 sale of the company, for back wages due to employes of the 18 previous employer. These wages may be paid in installments. 19 Section 3. Section 8 of the act, amended July 14, 1977 <-- 20 (P.L.82, No.30), is amended to read: 21 Section 8. Enforcement.--(a) The Secretary of Labor and 22 Industry shall have the duty, but not the exclusive right, to 23 enforce and administer the provisions of this act, to 24 investigate any alleged violations of this act and to institute 25 prosecutions and actions as provided hereunder. Nothing in this 26 act shall authorize the secretary to initiate a civil action for 27 unpaid wages which are subject to disposition under grievance 28 and arbitration procedures of a collective bargaining agreement. 29 (b) The Department of Labor and Industry shall have the 30 power to make rules and regulations for the administration of 19870H1598B3572 - 2 -
1 this act. 2 (c) Every employer shall keep open to inspection by the 3 secretary or his authorized representative, all payroll records 4 or other records or documents relative to the enforcement of 5 this act. Such inspection may be made by the secretary or his 6 authorized representative at any reasonable time. Every employer 7 shall permit the secretary or any authorized representative to 8 interrogate any employe in the place of employment and during 9 work hours with respect to such records or documents. Where such 10 records are maintained at a central record keeping office 11 outside of the Commonwealth, such records shall be made 12 available for inspection at the place of employment within seven 13 calendar days following verbal or written notice from the 14 secretary or his authorized representative. Where a microfilm or 15 any other method is authorized for record keeping purposes, the 16 employer shall make available to the secretary or his authorized 17 representative, the equipment which is necessary to facilitate 18 review of the records. 19 (d) The department may require a company which has filed a 20 bankruptcy petition under Chapter 11 of the Federal Bankruptcy 21 Code (11 U.S.C. § 1101 et seq.) to file a bond or other 22 assurance relating to the payment of wages of salaried and 23 nonsalaried employes of the company. The department shall 24 monitor payments or wages by a company which has filed a Chapter 25 11 petition. 26 Section 4 3. This act shall take effect in 60 days. <-- C17L43JAM/19870H1598B3572 - 3 -