The original instrument was prepared by Carla S. Roberts. The following digest,
which does not constitute a part of the legislative instrument, was prepared by
Ann S. Brown.
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.
Proposed law provides that if the court determines that the employer's failure or refusal to pay the
amount of wages owed, was not in good faith, then the employer shall be subject to the penalty
provided for in present law.
Effective August 1, 2014.
(Amends R.S. 23:632)
Summary of Amendments Adopted by Senate
Senate Floor Amendments to engrossed bill 1. Adds a provision that requires an employer to pay penalties when a court finds
that the employer did not act in good faith when withholding an employee's pay.