HLS 24RS-1679 ORIGINAL 2024 Regular Session HOUSE BILL NO. 919 BY REPRESENTATIVE CHENEVERT PUBLIC OFFLS/EMPS: Provides with respect to payroll deductions 1 AN ACT 2To amend and reenact R.S. 17:438, R.S. 23:890(F), and R.S. 42:456(A)(1) and 457, relative 3 to payroll withholdings for payment of dues; to limit authorizations of such 4 withholdings and to provide for rescinding such authorizations; to prohibit use of 5 dues for political activities and to require reports related thereto; and to provide for 6 related matters. 7Be it enacted by the Legislature of Louisiana: 8 Section 1. R.S. 17:438 is hereby amended and reenacted to read as follows: 9 §438. Permitted withholdings; exceptions 10 A. Any teacher or other employee of a parish or city school board may 11 authorize his employing school board to deduct and withhold from his earnings a 12 specific amount for such pay periods as may be designated, for the payment of 13 regular dues owed by such teacher or other employee to any organization of teachers 14 or other school employees. Any such authorization shall expire in one year but may 15 be renewed. 16 B. No deduction shall be made from the earnings of any teacher or other 17 employee for the purpose permitted by this Section unless fifty or more teachers or 18 other employees or ten percent of the total number of employees, including teachers, 19 whichever is less have requested such deduction be made and the deduction is 20 specifically and voluntarily authorized in writing by the teacher or other employee. Page 1 of 6 CODING: Words in struck through type are deletions from existing law; words underscored are additions. HLS 24RS-1679 ORIGINAL HB NO. 919 1 If such authority is provided and a request for such deduction made, the school board 2 shall honor the request and provide for the deduction; however, if any system 3 documents to the satisfaction of the State Board of Elementary and Secondary 4 Education that it has already acquired payroll checks that will not accommodate the 5 request, the school board shall provide for such deduction as soon as possible but, 6 in no case later than the beginning of the school year following the request. 7 C.(1) Any organization on behalf of which an employer withholds funds 8 pursuant to this Section shall certify to the employer that none of the membership 9 dues will be used for political activity. 10 (2) By the end of each calendar year, each such organization shall provide 11 the employer a detailed account of how employees' membership dues were 12 expended. 13 (3) Any organization that fails to comply with Paragraph (1) or (2) of this 14 Subsection shall be permanently barred from arranging for the collection of its 15 membership dues by the employer. 16 D. Any amount withheld in accordance with the provisions of this Section 17 shall be remitted to the organization designated on a regularly scheduled basis as 18 determined by the employing board. 19 D. E. This Section shall not apply to a city or parish school board operating 20 under the terms of a collective bargaining agreement applicable to teachers employed 21 by the board. The requirements of this Section do not affect any collective 22 bargaining agreement in effect, and the terms of the collective bargaining agreement 23 shall remain valid until the expiration of the collective bargaining agreement. 24 F.(1) An employee may rescind his authorization of withholdings pursuant 25 to Subsection A of this Section at any time. The employee shall submit a written 26 request to his employer stating his desire to rescind the authorization, and the 27 employer shall notify the organization, in writing, that it is terminating the 28 withholdings as requested by the employee. Page 2 of 6 CODING: Words in struck through type are deletions from existing law; words underscored are additions. HLS 24RS-1679 ORIGINAL HB NO. 919 1 (2) The organization shall cease any withholding of dues from the 2 employee's wages, and the employee shall not accrue any further debt. The 3 employee's right to immediately resign and immediately end any financial obligation 4 to an organization shall not be waived. 5 Section 2. R.S. 23:890(F) is hereby amended and reenacted to read as follows: 6 §890. Labor policy 7 * * * 8 F.(1) Employees of such publicly owned and/or or operated transportation 9 systems hereafter acquired may authorize and upon such authorization the aforesaid 10 municipality, transit authority, or other authority organized for the purpose may 11 make deductions from wages and salaries of such employees: 12 (1) (a) Pursuant to a collective bargaining agreement with a duly designated 13 or certified labor organization for the payment of union dues, fees, or assessments. 14 (2) (b) For the payment of contributions pursuant to any health and welfare 15 plan or pension or retirement plan, and. 16 (3) (c) For any purposes for which deductions may be authorized by 17 employees of any private employer. 18 (2) Any authorization pursuant to Subparagraph (1)(a) of this Subsection 19 shall expire in one year but may be renewed. 20 (3)(a) Any organization on behalf of which an employer withholds funds 21 pursuant to Subparagraph (1)(a) of this Subsection shall certify to the employer that 22 none of the membership dues will be used for political activity. 23 (b) By the end of each calendar year, each such organization shall provide 24 the employer a detailed account of how employees' membership dues were 25 expended. 26 (c) Any organization that fails to comply with Subparagraph (a) or (b) of this 27 Paragraph shall be permanently barred from arranging for the collection of its 28 membership dues by the employer. Page 3 of 6 CODING: Words in struck through type are deletions from existing law; words underscored are additions. HLS 24RS-1679 ORIGINAL HB NO. 919 1 (4)(a) An employee may rescind his authorization of withholdings pursuant 2 to Subparagraph (1)(a) of this Subsection at any time. The employee shall submit 3 a written request to his employer stating his desire to rescind the authorization, and 4 the employer shall notify the organization, in writing, that it is terminating the 5 withholdings as requested by the employee. 6 (b) The organization shall cease any withholding of dues from the 7 employee's wages and the employee shall not accrue any further debt. The 8 employee's right to immediately resign and immediately end any financial obligation 9 to an organization shall not be waived. 10 * * * 11 Section 3. R.S. 42:456(A)(1) and 457 are hereby amended and reenacted to read as 12follows: 13 §456. Permitted withholdings 14 A. Payroll deductions shall be authorized only for the following: 15 (1) Mandated federal or state income withholdings, credit unions, 16 garnishments, liens, union dues in the manner provided by R.S. 42:457, savings 17 bonds programs, qualified United Way entities, health and life insurance products 18 offered through the Office of Group Benefits, and products having state participating 19 contributions, sponsored by the Office of Group Benefits, which qualify and are 20 offered under Section 125 of the Internal Revenue Code (Cafeteria Plan). 21 * * * 22 §457. Union dues 23 A. Any state, parish, or city employee may authorize his employing 24 department, board, or agency to withhold from his salary a specific amount for such 25 pay periods as may be designated, for payment of his dues to any labor organization 26 to which he belongs and which he designates therein. In such cases, the employee 27 must voluntarily execute and furnish to the employing department, board, or agency 28 a written and specific authorization for such deductions; however, the employing 29 authority may elect whether or not to make such deductions. Any such authorization Page 4 of 6 CODING: Words in struck through type are deletions from existing law; words underscored are additions. HLS 24RS-1679 ORIGINAL HB NO. 919 1 shall expire in one year but may be renewed. Any amount withheld in accordance 2 with the provisions of this Section shall be remitted on a regularly scheduled basis 3 as prescribed by rules promulgated by the Division of Administration division of 4 administration and administered by the state payroll office to the organization 5 designated. 6 B.(1) An employee may rescind his authorization of withholdings pursuant 7 to Subsection A of this Section at any time. The employee shall submit a written 8 request to his employer stating his desire to rescind the authorization, and the 9 employer shall notify the organization, in writing, that it is terminating the 10 withholdings as requested by the employee. 11 (2) Upon receipt of the notification provided for in Paragraph (1) of this 12 Subsection, the employer shall cease any withholding of dues from the employee's 13 wages, and the employee shall not accrue any further debt to the organization. The 14 employee's right to immediately resign and discontinue any financial obligation to 15 the labor organization or union shall not be waived. 16 (3) This Subsection shall apply prospectively to any new collective 17 bargaining agreement or contact that is entered into or any existing collective 18 bargaining agreement that is modified, extended, or otherwise affected by a new or 19 modified memorandum of understanding after August 1, 2024. 20 C.(1) Any organization on behalf of which an employer withholds funds 21 pursuant to this Section shall certify to the employer that none of the membership 22 dues will be used for political activity. 23 (2) By the end of each calendar year, each such organization shall provide 24 the employer a detailed account of how employees' membership dues were 25 expended. 26 (3) Any organization that fails to comply with Paragraph (1) or (2) of this 27 Subsection shall be permanently barred from arranging for the collection of its 28 membership dues by the employer. Page 5 of 6 CODING: Words in struck through type are deletions from existing law; words underscored are additions. HLS 24RS-1679 ORIGINAL HB NO. 919 1 D. The provisions of this Section do not apply to law enforcement and 2 firefighter services. DIGEST The digest printed below was prepared by House Legislative Services. It constitutes no part of the legislative instrument. The keyword, one-liner, abstract, and digest do not constitute part of the law or proof or indicia of legislative intent. [R.S. 1:13(B) and 24:177(E)] HB 919 Original 2024 Regular Session Chenevert Abstract: Provides relative to payroll withholdings for the payment of dues to labor organizations. Present law provides that an employee of a school board may authorize his employing school board to deduct and withhold from his earnings a specific amount for the payment of regular dues owed to any organization of school employees. Present law provides that any state, parish, or city employee may authorize his employer to withhold from his salary a specific amount for payment of his dues to any labor organization. Present law provides that employees of certain publicly owned or operated transportation systems may authorize their employer to make deductions from wages and salaries pursuant to a collective bargaining agreement with a duly designated or certified labor organization for the payment of union dues, fees, or assessments. Proposed law relative to all such payroll deductions, provides as follows: (1)Any such authorization shall expire in one year but may be renewed. (2)Authorizes an employee to request cessation of such withholdings. Provides that pursuant to such a request, the employee shall not accrue any further debt to the organization. Further provides that the employee's right to immediately discontinue any financial obligation to the organization shall not be waived. (3)Requires any organization on behalf of which an employer withholds funds to certify to the employer that membership dues are not used for political activity. Requires that organizations annually report to employers on the use of dues. Provides that an organization that violates proposed law is permanently barred from arranging for the collection of its membership dues by the employer. (Amends R.S. 17:438, R.S. 23:890(F), and R.S. 42:456(A)(1) and 457) Page 6 of 6 CODING: Words in struck through type are deletions from existing law; words underscored are additions.