An Act
ENROLLED SENATE
BILL NO. 1345 By: Hall of the Senate
and
Boatman and Kendrix of the
House
An Act relating to labor; amending 40 O.S. 2021,
Section 165.1, which relates to definition; providing
definitions; amending 40 O.S. 2021, Section 165. 2,
which relates to payment of wages; providing
provision for employe r to use certain wage payment
option under certain condition; making language
gender neutral; and providing an effe ctive date.
SUBJECT: Labor
BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA:
SECTION 1. AMENDATORY 40 O.S. 2021, Section 165.1, is
amended to read as follows:
Section 165.1. As used only in Sections 165.1 t hrough 165.11 of
this title:
1. “Employer” means every individual, partnership, firm,
association, corporation, the legal representative of a deceased
individual, or the receiver, trustee or succes sor of an individual,
firm, partnership, association or co rporation, employing any perso n
in this state;
2. “Employee” means any person permitted to work by an
employer;
3. “Exempt employee” means those management level employees
exempt under the provisi ons of Section 213 of the Fair Labor
ENR. S. B. NO. 1345 Page 2
Standards Act, as ame nded, 29 U.S.C. Section 213, f rom the
provisions of Sections 206 and 207 of said act;
4. “Financial institution” means a bank, savings bank, savings
and loan association or credit union whose deposits are insured by
the Federal Deposit Insurance Co rporation, the National Credit Union
Administration, or any successor institution;
5. “Payroll card” means a card or other device used by an
employee to access wages from a payroll card account;
6. “Payroll card account” means a prepaid account that is
directly or indirectly established through an employer and to whi ch
transfers of the employee’s wages, salary, or other compensation are
made on a recurring basis;
7. “Wages” means compensation owed by an employer to an
employee for labor or services rendered , including salaries,
commissions, holiday and vacation pay, overtime pay, severance or
dismissal pay, bonuses and other similar advantages agreed upon
between the employer and the employee, which are earned and due, or
provided by the employer to his or her employees in an established
policy, whether the amou nt is determined on a time, task, piece,
commission or other basis of calculation;
5. 8. “Commissioner” means State the Commissioner of Labor ; and
6. 9. “Bona fide disagreement ” means an honest and sincere
belief or assertion based on a dispute of a determinative fact or
application of law under this title which is supported by relevant
evidence.
SECTION 2. AMENDATORY 40 O.S. 2021, Section 165.2, is
amended to read as follows:
Section 165.2. Every employer in this state shall pa y all wages
due their employees, other than exempt employees and employees of
nonprivate foundations qualified purs uant to 26 U.S.C. 509(a)(1) and
26 U.S.C. 170(b)(1)(A)(vi), at least twice each calendar month on
regular paydays designated in advance by th e employer. State,
county and municipal employees, exempt employees, school district
employees, technology center school district employees and employees
ENR. S. B. NO. 1345 Page 3
of nonprivate foundations qualified pursuant to 26 U.S.C. 509(a)(1)
and 26 U.S.C. 170(b)(1)(A)(vi) sh all be paid a minimum of once each
calendar month. The amount due such employees shall be paid in
lawful money of the United States, including payment by electronic
means, and the employee shall not be deemed to have waived any right
or rights mentioned i n this section because of any contract to the
contrary. Each employer in this state, in its discretion, may pay
all wages due to an employee by deposit on the payday at a financial
institution of the employee ’s choice or, if the employee does not
consent or designate a financial institution, to a payroll card
account. With each payment of wages earned by such employee, the
employer shall issue to such employee a brief itemized statement of
any and all deductions therefrom. An interval of not more than
eleven (11) days may elapse between the end of the pay period worked
and the regular payday designated by the employer. The em ployer
shall be allowed three (3) days after such payday in which to comply
with this section.
No such employer shall issue, in pay ment of or as evidence of
indebtedness due an employee any check, cashier’s check, draft, time
check, store order, scrip, or other acknowledgment of indebtedness
unless the same is payable or redeemabl e upon demand without
discount and for face value in la wful money of the United States.
If an employer pays an employee with a check which is subsequently
returned to the employee or an agent thereof by reason of the
refusal of the bank upon which such ch eck was drawn to honor the
same due to insufficient fun ds or a stop payment notice, the
employer shall reimburse the employee for any fees or costs incurred
by the employee due to the refusal to honor the check within
fourteen (14) days of the employer ’s notice of the bank’s refusal to
honor the check.
SECTION 3. This act shall become e ffective November 1, 2022.
ENR. S. B. NO. 1345 Page 4
Passed the Senate the 16th day of February, 2022.
Presiding Officer of the Senate
Passed the House of Representatives the 27th day of April, 2022.
Presiding Officer of the House
of Representatives
OFFICE OF THE GOVERNOR
Received by the Office of the Governor this _______ _____________
day of _________________ __, 20_______, at _______ o'clock _______ M.
By: _______________________________ __
Approved by the Governor of the State of Oklahoma this ___ ______
day of _________________ __, 20_______, at _______ o'clock _______ M.
_________________________________
Governor of the State of Oklahoma
OFFICE OF THE SECRETARY OF STATE
Received by the Office of the Secretary of State this _______ ___
day of __________________, 20 _______, at _______ o'clock _______ M.
By: _______________________________ __