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Georgia employers now may pay employees through the use of payroll card accounts under a law signed by Gov. Nathan Deal on May 5, 2015. The new law is effective immediately.
Prior to the amendment, state law (O.C.G.A. Section 34-7-2) referenced only cash, check, and direct deposit (with the consent of the employee) as the permissible methods of payment of wages. The new version of the statute expressly permits employers to pay employees “by credit to a payroll card account.”
The statute defines “payroll card account” as “an account that is directly or indirectly established through a person, firm, or corporation employing wageworkers or other employees and to which electronic funds transfers of the wages or salary of such employees are made on a recurring basis, whether the account is operated or managed by such person, firm, or corporation or a third-party payroll processor, a depository institution, or any other person.” Cash, check, and direct deposit are still permitted under the new law, but consent of the employee is required for payment by direct deposit.
In order to use payroll cards under the new law, an employer must provide employees with the following:
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