PAYMENT OF WAGES
Factory or other manual workers must be paid their wages weekly. The employer has seven days after the end of the week in which the wages are earned to pay the employee. However, a manual worker employed by a non-profit making organization may be paid in accordance with the agreed terms of employment, but not less frequently than semi-monthly.
Railroad or sleeping car employees must be paid on or before every Thursday, the wage earned up to Tuesday of the preceding week.
Commission salespeople must receive wages, salary, drawing account, or commissions at such times as provided in the employment agreement, but they must be paid at least once a month and not later than the last day of the month following the month in which the money is earned. If a salesperson receives monthly payments of wages, salary, drawing account, or commissions that are substantial, additional compensation such as bonuses or "incentive" earnings may be paid at such times as agreed by the employer and salesperson.
Clerical and other workers must be paid in accordance with the agreed terms of employment but not less frequently than semimonthly.
No deductions may be made from wages, except deductions which are required by law such as social security and income tax, and deductions which are authorized in writing by the employee and are for the benefit of the employee. These authorized deductions may include payments for insurance premiums, pension, contributions to charitable organizations, payment for U.S. bonds, payments for union dues, and similar payments for the benefit of the employee.
An employer, for example, may not deduct from a youngster's wages the cost of breakage, spoilage of materials or cash shortages, nor exact a penalty for lateness, other than nonpayment for time lost. They also are forbidden to require a separate repayment for such items.
The law forbids employers from appropriating an employee's tips. It prohibits an employer or any other person from accepting any part of the gratuities received by an employee or from retaining any part of a charge purported to be a gratuity for an employee. This prohibition does not apply to hat checking. The law also does not affect practices in connection with banquets where a fixed percentage of a patron's bill is added for gratuities, which are distributed to employees, or to the sharing of tips by a waitress with a busboy or similar employee.
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