Updated February 16, 2017

It has been ruled that the impending NYS Department of Labor regulation regarding the "method of payment of wages" has been revoked. The regulations, set to take effective on March 7, 2017, listed additional requirements for employers who pay their employees via direct deposit or payroll debit card.

On February 16th the NYS Industrial Board of Appeals made a move to revoke the entire rule. Essentially, the IBA has found that the Commissioner of Labor exceeded his “...rulemaking authority and encroached upon the jurisdiction of banking and financial services regulators.” The Department of Labor does have the opportunity to appeal the ruling; however, at this time there is no need for employers to take action to amend current direct deposit or payroll debit card practices.

Bene-Care will keep you posted on any developments.


Additional questions? Please don't hesitate to contact us directly.