DC Wage Payment and Collection Law Requirements

In Washington D.C., employers are required to pay wages on a regular schedule, with a minimum frequency of twice a month. This means that employees should receive their paychecks at least every two weeks.

To comply with the law, employers must provide written notice to employees about their pay schedule, including the date and time of payment. This notice must be given to employees at the time of hiring.

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As an employer in D.C., you have specific obligations when it comes to paying your employees. You must pay employees who are fired, discharged, or laid off all wages due by the first workday after the separation.

If an employee is responsible for any of your monies, you have four days to verify the accuracy of those monies before paying their wages.

For employees who quit or resign, you must pay them all wages due on the next regular payday or within seven days from the date of quitting, whichever is earlier.

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In cases of suspension due to a labor dispute, you must pay employees all wages due by the next regular payday.

If you fail to timely pay an employee upon separation from employment, you'll be liable to pay a penalty equal to the lesser of 10% of the unpaid wages for each workday the wages due remain unpaid or an amount equal to the unpaid wages owed.

Here's a breakdown of the timeline for paying employees upon separation:

You must also provide each employee with an itemized statement (pay stub) showing their wages paid, including gross wages, allowances, deductions, and hours worked.

In the District of Columbia, employers are required to pay employees all wages due at least twice during each calendar month, except in specific circumstances.

Employers can choose to pay certain employees, such as administrative, executive, and professional employees, at least once per month. This is a common practice, but it's essential to note that employers must pay wages not more than 10 days after the end of a pay period, unless a different period is specified in a collective agreement.

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Employers must designate regular paydays in advance and pay wages on those days. This ensures that employees receive their pay on a consistent schedule.

Employers must pay employees by either cash or check payable on demand for full face value.

Here are the payment options in more detail:

Upon separation from employment, employers must pay employees their wages due in a timely manner.

Unless a collective agreement specifies otherwise, employers must pay employees all wages due upon separation from employment.

An employer that fails to timely pay an employee upon separation from employment will be liable to pay a penalty, which is equal to the lesser of 10% of the unpaid wages for each workday the wages due remain unpaid, or an amount equal to the unpaid wages owed.

If an employer successfully files for bankruptcy, the accrual of any penalty owed to the employee will stop as of the date the petition for bankruptcy is filed.

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Employees who are fired, discharged, or laid off must be paid all wages due no later than the first workday after the discharge or lay off.

If the employee who was discharged or laid off is responsible for any of the employer's monies, the employer is allowed four days from the date of the discharge or lay off to verify the accuracy of the monies before paying all wages due.

Employees who quit or resign must be paid all wages due on the next regular payday or within seven days from the date of quitting or resigning, whichever is earlier.

In certain situations, the rules of DC wage payment and collection law may be waived or modified. For example, if an employer is unable to pay wages due to a labor dispute, the law allows for a temporary suspension of payment.

Employers who are experiencing financial difficulties may be able to negotiate a payment plan with the Department of Employment Services. This can help prevent wage garnishment and other collection actions.

Some workers are exempt from the Wage Payment and Collection law, which is a relief for those who work in certain roles.

Government employees, including those working for the U.S. government or a D.C. government agency, are exempt from this law.

Workers subject to the Railway Labor Act are also exempt, which means their wage payments and collections are governed by a different set of rules.

Here are some specific examples of workers who are exempt:

The D.C. Wage Theft Prevention Act Amendment is a crucial piece of legislation that protects employees from wage theft. It broadened the definition of wages to include all monetary compensation owed after lawful deductions.

This means that employers must pay employees for things like bonus pay, commission, fringe benefits, and overtime premiums. Any compensation promised or owed under contract or D.C./federal law is also included.

The Act provides protection for employees from retaliation for making a complaint regarding a violation of the District's wage payment provisions. If an employer takes an adverse action against an employee within 90 days of a complaint, it's presumed to be retaliation.

To rebut this presumption, the employer must provide clear and convincing evidence that the action was taken for permissible reasons. This means that employers must have a solid justification for any adverse action they take against an employee who has complained about wage theft.

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In the event of a labor dispute, an employer must pay suspended employees their wages due no later than the next regular payday.

An employer must pay suspended employees their wages due on the next regular payday, without any conditions or disputes.

If a labor dispute leads to a suspension, the employer's payment obligations remain unchanged, and they must still pay the employee's wages on time.

The employer's payment obligations are clear, and they must prioritize paying suspended employees their wages due, even in the midst of a labor dispute.