Texas Senate Bill SB1340

Texas 2019 - 86th Regular

Caption

Relating to the required earnings statement provided by employers.

Impact

The proposed legislation is intended to improve clarity and accountability in the employer-employee relationship by requiring employers to provide specific information regarding pay. This change is likely to impact current labor laws, particularly those related to employee wages and compensation disclosures. The requirement for detailed earnings statements will help employees track their earnings more accurately and understand deductions, thereby reducing potential disputes over wage calculations.

Summary

Senate Bill 1340 proposes changes to the provisions related to the earnings statements provided to employees by their employers. The bill mandates that all employers must give their employees a written earnings statement at the end of each pay period. This statement must include detailed information about the employee's name, rate of pay, total earnings for the pay period, any deductions, the amount after deductions, and the total hours worked or units produced depending on how the employee is compensated. The bill aims to enhance workplace transparency and ensure that employees have clear and comprehensive records of their earnings.

Contention

While the bill presents benefits regarding employee rights and workplace transparency, it could prompt concerns from employers about increased operational responsibilities and potential compliance costs. There may be contention surrounding how these requirements are received within different sectors, especially among small businesses that may find the regulations burdensome. Additionally, discussions around the exact format and details mandated in the earnings statements could lead to ongoing debates about balancing clarity for employees with the feasibility for employers.