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Panel approves wage-payment changes to speed payout for separated employees
Summary
The committee adopted an amended substitute of HB 186 to simplify the process for employees to receive final wages after separation, shorten employer response time to one business day, and make claims procedures more accessible to workers.
The House committee approved a first substitute of a wage-payment bill aimed at simplifying how terminated employees claim unpaid wages and shortening employer response times.
Representative Kristofferson, sponsor of the combined measures (consolidating HB 172), said the bill "simplifies what the employee's obligations are" and protects employers by setting clearer rules for final-payments. Lawmakers adopted an amendment changing a 24-hour notice provision to "one business day" to account for weekend or holiday timing.
Employment attorneys who represent both workers and employers supported the approach. David Head, an employment attorney, said the bill will streamline situations where businesses close suddenly or run out of funds and ensure employees can resolve wage claims more quickly. Tracy Olsen, an employment attorney who represents employees, said the existing written-notice requirements often bar employees from accessing protections and that the substitute would remove barriers and allow more workers to recover unpaid wages.
The committee adopted the first substitute and House Amendment 1 (changing the 24-hour rule to one business day) and then passed the amended substitute with a favorable recommendation.
