| 1 | 1 | | 88R4720 SCP-D |
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| 2 | 2 | | By: Romero, Jr. H.B. No. 1549 |
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| 3 | 3 | | |
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| 4 | 4 | | |
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| 5 | 5 | | A BILL TO BE ENTITLED |
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| 6 | 6 | | AN ACT |
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| 7 | 7 | | relating to administrative penalties assessed by the Texas |
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| 8 | 8 | | Workforce Commission against certain employers for failure to pay |
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| 9 | 9 | | wages. |
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| 10 | 10 | | BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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| 11 | 11 | | SECTION 1. Section 61.053, Labor Code, is amended by |
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| 12 | 12 | | amending Subsection (a) and adding Subsection (a-1) to read as |
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| 13 | 13 | | follows: |
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| 14 | 14 | | (a) If the commission examiner, a wage claim appeal |
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| 15 | 15 | | tribunal, or the commission determines that an employer acted in |
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| 16 | 16 | | bad faith in not paying wages as required by this chapter, the |
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| 17 | 17 | | examiner, tribunal, or commission, in addition to ordering the |
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| 18 | 18 | | payment of the wages, shall [may] assess an administrative penalty |
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| 19 | 19 | | against the employer. |
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| 20 | 20 | | (a-1) For purposes of Subsection (a), acts that constitute |
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| 21 | 21 | | bad faith by an employer include: |
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| 22 | 22 | | (1) a history of previous violations of this chapter; |
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| 23 | 23 | | (2) failure to pay wages to an employee as required by |
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| 24 | 24 | | this chapter as an act of discrimination or retaliation against the |
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| 25 | 25 | | employee; |
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| 26 | 26 | | (3) failure to pay wages as required by this chapter to |
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| 27 | 27 | | multiple employees at the same time; |
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| 28 | 28 | | (4) failure to pay wages to an employee as required by |
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| 29 | 29 | | this chapter knowing that the failure was a violation of state law; |
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| 30 | 30 | | or |
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| 31 | 31 | | (5) actions showing reckless disregard of the |
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| 32 | 32 | | requirements of this chapter, including: |
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| 33 | 33 | | (A) repeatedly: |
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| 34 | 34 | | (i) failing to reply to correspondence from |
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| 35 | 35 | | a commission examiner, wage claim appeal tribunal, or the |
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| 36 | 36 | | commission related to a wage claim; or |
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| 37 | 37 | | (ii) refusing to participate in the wage |
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| 38 | 38 | | claim process; |
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| 39 | 39 | | (B) issuing a check for the payment of wages from |
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| 40 | 40 | | an account that is closed or has insufficient funds; |
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| 41 | 41 | | (C) stopping payment of a check issued to an |
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| 42 | 42 | | employee for the payment of wages; or |
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| 43 | 43 | | (D) unreasonably withholding or delaying payment |
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| 44 | 44 | | of wages, including by conditioning the payment of wages owed on the |
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| 45 | 45 | | performance of additional work. |
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| 46 | 46 | | SECTION 2. This Act takes effect September 1, 2023. |
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