Hawaii Enacts New Payroll Debit Card and Direct Deposit Laws: Employment Law Manual Updated

Author: Rena Pirsos, XpertHR Legal Editor

The Hawaii wage payment law now includes detailed new provisions authorizing employers to pay employees' wages via direct deposit or payroll debit cards. In addition to the requirement that employees must first voluntarily agree to be paid by either of these methods, the new provisions include several restrictions with which an employer must comply if it wishes to offer either of these wage payment methods to its employees.

Previously, payment of wages by direct deposit and payroll debit card was permitted only under guidance issued by the Hawaii Department of Labor and Industrial Relations, but was not provided for in the wage payment law.

The Payment of Wages: Hawaii section of the Employment Law Manual has been updated to include all the new requirements.