Posted on August 29, 2011

New Legislation to Mandate Payroll Cards

The Electronic Paycard Protection Act of 2011 will amend the Fair Labor Standards Act to require certain disclosures by employers who use electronic payroll cards to pay its employees. The bill would seek to specific changes that could affect how employers process payroll.

For requirements on the disclosures and options go to www.govtrack.us.

Paycor offers paycards as a pay option, they are available to all employees eligible for direct deposit, regardless of credit history. The account is an FDIC insured account and can be used at ATM and point-of-sale (POS) terminals accepting PIN transactions to withdraw cash and make purchases. The account also allows for pre-authorized bill payments. The card is owned by the employee, not the employer, so it is portable if the employee leaves the company.

Additional paycard features include instant issuance, simple enrollment, compliance, ease of use, no ongoing fees, and security.