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PA HB1568

PA HB1568
Further providing for employees who are separated from payroll before paydays.


summary

Introduced
06/09/2025
In Committee
06/09/2025
Crossed Over
Passed
Dead

Introduced Session

2025-2026 Regular Session

Bill Summary

Amending the act of July 14, 1961 (P.L.637, No.329), entitled "An act relating to the payment of wages or compensation for labor or services; providing for regular pay days; conferring powers and duties upon the Department of Labor and Industry, including powers and duties with respect to the civil collection of wages; providing civil and criminal penalties for violations of the act; providing for their collection and disposition and providing for additional civil damages," further providing for employees who are separated from payroll before paydays.

AI Summary

This bill amends Pennsylvania's Wage Payment and Collection Law to provide clearer guidelines for how employers must handle unused fringe benefits or wage supplements when an employee leaves their job. Under the new provisions, employers must have a written accrual policy that specifies how unused benefits like vacation, holiday, or separation pay will be handled when an employee terminates employment, whether through retirement, resignation, or layoff. If an employer does not have a written policy, they must pay the employee the full amount of unused benefits. The bill allows employees to potentially transfer these unused benefits to a new employer if the business changes ownership, and it applies to both seasonal and temporary workers. The bill excludes certain types of sick leave from these requirements, particularly if the leave is specifically designated for illness or injury, unless the employer's policy or employment agreement states otherwise. The law will go into effect 60 days after its passage, providing employers time to review and update their benefit policies to comply with the new requirements.

Committee Categories

Labor and Employment

Sponsors (8)

Last Action

Referred to Labor & Industry (on 06/09/2025)

bill text


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