Wage splitting issue

[jnelson1219]

Jurisdiction

New Jersey

Hello,

I work for a company that is having financial issues and trying to make up a budget deficit. My company decided they want to implement a program where you do not receive your full bi weekly payment on the first month (basically short your first paycheck for the month) and make up the balance of what you would have received on the first paycheck on the second paycheck of the month. As far as I can tell from the NJ Dept. of Labor that employers shall pay the full amount of wages due at least twice a month. Can they legally cut money from the first check and add it to the second to hold onto the cash longer?

 

[cbg]

No, they can't. Not legally.

But they can fire employees so that they don't have to pay them at all.

 

[jnelson1219]

No, they can't. Not legally.

But they can fire employees so that they don't have to pay them at all.

I was under the same assumption that they couldn't legally do so. Any idea why other than CYA would my HR dept think otherwise..are there other laws?

 

[hrforme]

Are they holding back current wages (within the pay period to be paid) or are they changing the pay period and paycheck date going forward? Many companies have a "holdback" period and here is what NJ allows for that " The end of the pay period for which payment is made on a regular payday shall be not more than 10 working days before such regular payday..." Department of Labor and Workforce Development | Selected NJ State Labor Laws and Regulations

So if you are currently being paid on the 15th for work up through say the 14th, they could legally change their payroll schedule to pay you on the 15th on work through the 5th. Now if they are currently paying you through the 5th on the 15th, they cannot hold any wages from that pay period....

 

[jnelson1219]

Are they holding back current wages (within the pay period to be paid) or are they changing the pay period and paycheck date going forward? Many companies have a "holdback" period and here is what NJ allows for that " The end of the pay period for which payment is made on a regular payday shall be not more than 10 working days before such regular payday..." Department of Labor and Workforce Development | Selected NJ State Labor Laws and Regulations

So if you are currently being paid on the 15th for work up through say the 14th, they could legally change their payroll schedule to pay you on the 15th on work through the 5th. Now if they are currently paying you through the 5th on the 15th, they cannot hold any wages from that pay period....

No the way it was reported to us is we are still following our normal pay periods but the first check will be lets say 1/4 of the total monthly salary and the second check will be 3/4 or the rest that wasn't payed on the first check

 

[hrforme]

then agree with the others that would be illegal.....because they must pay wages within 10 days of the last day of the pay period. You might show that link that I posted to HR and ask them if that is what they are doing?

 

[jnelson1219]

Great. Thanks for all the advice guys. I will see what I can do. Its never a good thing when your money is being manipulated.

 

[adjusterjack]

Great. Thanks for all the advice guys. I will see what I can do. Its never a good thing when your money is being manipulated.

And it's never a good thing to work for a company that is in financial trouble.

When the paychecks stop coming and the company goes out of business you'll never see that money no matter what is "legal."

I suggest you find yourself a job elsewhere before you have to compete with former co-workers in the job market.