SLS 14RS-818 ORIGINAL
Page 1 of 2
Coding: Words which are struck through are deletions from existing law;
words in boldface type and underscored are additions.
Regular Session, 2014
SENATE BILL NO. 359
BY SENATOR DONAHUE
EMPLOYMENT. Limits penalty for failure to pay wages. (8/1/14)
AN ACT1
To amend and reenact R.S. 23:632, relative to employers' failure to pay wages; to provide2
for penalties; to provide for limitation of penalties; to provide for good faith3
exception; and to provide for related matters.4
Be it enacted by the Legislature of Louisiana:5
Section 1. R.S. 23:632 is hereby amended and reenacted to read as follows: 6
ยง632. Liability of employer for failure to pay; attorney fees ; good faith exception7
A. Any Except as provided for in Subsection B of this Section, any8
employer who fails or refuses to comply with the provisions of R.S. 23:631 shall be9
liable to the employee either for ninety days wages at the employee's daily rate of10
pay, or else for full wages from the time the employee's demand for payment is made11
until the employer shall pay or tender the amount of unpaid wages due to such12
employee, whichever is the lesser amount of penalty wages.13
B. When an employer disputes in good faith the amount of wages due,14
pursuant to Subsection A of this Section, and the employer is subsequently15
found by the court to owe the amount in dispute, the employer shall be liable16
only for the amount of wages in dispute plus judicial interest incurred from the17 SB NO. 359
SLS 14RS-818 ORIGINAL
Page 2 of 2
Coding: Words which are struck through are deletions from existing law;
words in boldface type and underscored are additions.
date that the suit is filed.1
C. Reasonable attorney fees shall be allowed the laborer or employee by the2
court which shall be taxed as costs to be paid by the employer, in the event a well-3
founded suit for any unpaid wages whatsoever be filed by the laborer or employee4
after three days shall have elapsed from time of making the first demand following5
discharge or resignation.6
The original instrument and the following digest, which constitutes no part
of the legislative instrument, were prepared by Carla Roberts.
DIGEST
Donahue (SB 359)
Present law provides that upon the discharge of any laborer or other employee of any kind,
it shall be the duty of the person employing such laborer or other employee to pay the
amount then due under the terms of employment, whether the employment is by the hour,
day, week, or month, on or before the next regular payday or no later than 15 days following
the date of discharge, whichever occurs first.
Present law provides that any employer who fails or refuses to pay wages to an employee
who has been discharged shall be liable to the employee either for 90 days wages at the
employee's daily rate of pay, or else for full wages from the time the employee's demand for
payment is made until the employer shall pay or tender the amount of unpaid wages due to
such employee, whichever is the lesser amount of penalty wages. Present law provides that
reasonable attorney fees shall be allowed the laborer or employee by the court which shall
be taxed as costs to be paid by the employer, in the event a well-founded suit for any unpaid
wages whatsoever be filed by the laborer or employee after three days shall have elapsed
from time of making the first demand following discharge or resignation.
Proposed law creates a good faith exception so that, when an employer disputes the amount
of wages due and is subsequently found by the court to owe the amount in dispute, the
employer shall be liable only for the amount of wages in dispute plus judicial interest
incurred from the date that the suit is filed but the employer will not be liable for the penalty
wages, so long as the employer was in good faith.
Effective August 1, 2014.
(Amends R.S.23:632)