Utah 2025 Regular Session

Utah House Bill HB0186 Compare Versions

Version 1 (Old)

Version 2 (New)

Old	New		Differences
1		-	02-~~21 12~~:02 2nd Sub. (Gray) H.B. 186
	1	+	02-19 15:28 2nd Sub. (Gray) H.B. 186
2	2		Kay J. Christofferson proposes the following substitute bill:
3	3		1
4	4		Wage Payment Amendments
5	5		2025 GENERAL SESSION
6	6		STATE OF UTAH
7	7		Chief Sponsor: Kay J. Christofferson
8		-	Senate Sponsor: ~~Heidi Balderree~~
	8	+	Senate Sponsor:
9	9		2
10	10
11	11		3
12	12		LONG TITLE
13	13		4
14	14		General Description:
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16	16		This bill modifies the payment of wages provisions.
17	17		6
18	18		Highlighted Provisions:
19	19		7
20	20		This bill:
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22	22		▸ removes references that require an employee separating from an employer to provide a
23	23		9
24	24		written demand for payment;
25	25		10
26	26		▸ removes the requirement that an employee make a demand in writing 15 days before
27	27		11
28	28		bringing a suit for wages;
29	29		12
30	30		▸ requires that an employee, who disputes the amount an employer pays to the employee
31	31		13
32	32		upon separation, provide notice to the employer before initiating a legal action; and
33	33		14
34	34		▸ makes technical and conforming changes.
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36	36		Money Appropriated in this Bill:
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38	38		None
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40	40		Other Special Clauses:
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42	42		None
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44	44		Utah Code Sections Affected:
45	45		20
46	46		AMENDS:
47	47		21
48	48		34-27-1, as last amended by Laws of Utah 2024, Chapter 365
49	49		22
50	50		34-28-5, as last amended by Laws of Utah 2018, Chapter 307
51	51		23
52	52
53	53		24
54	54		Be it enacted by the Legislature of the state of Utah:
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56	56		Section 1. Section 34-27-1 is amended to read:
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58	58		34-27-1 . Reasonable amount -- Taxed as costs.
59	59		27
60	60		[Whenever a mechanic, artisan, miner, laborer, servant, or other employee shall have
61	61		28
62	62		cause to bring suit for wages earned and due according to the terms of that individual's
63		-	2nd Sub. H.B. 186 2nd Sub. (Gray) H.B. 186 02-~~21 12~~:02
	63	+	2nd Sub. H.B. 186 2nd Sub. (Gray) H.B. 186 02-19 15:28
64	64		29
65	65		employment and shall establish by the decision of the court that the amount for which the
66	66		30
67	67		plaintiff has brought suit is justly due, and that a demand has been made in writing at least 15
68	68		31
69	69		days before suit was brought for a sum not to exceed the amount so found due, then it shall be
70	70		32
71	71		the duty of the court before which the case shall be tried to allow to the plaintiff a reasonable
72	72		33
73	73		attorneys' fee in addition to the amount found due for wages, to be taxed as costs of suit.] If a
74	74		34
75	75		mechanic, artisan, miner, laborer, servant, or other employee has cause to bring suit for wages
76	76		35
77	77		according to the terms of that individual's employment, and is awarded wages in a court with
78	78		36
79	79		jurisdiction, the court shall:
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81	81		(1) establish the amount that the plaintiff is due; and
82	82		38
83		-	(2) award attorney fees ~~Ĥ→ [~~, to be taxed as costs of suit~~] ←Ĥ~~ .
	83	+	(2) award attorney fees, to be taxed as costs of suit.
84	84		39
85	85		Section 2. Section 34-28-5 is amended to read:
86	86		40
87	87		34-28-5 . Separation from payroll -- Resignation -- Cessation because of
88	88		41
89	89		industrial dispute.
90	90		42
91	91		(1)(a) When an employer separates an employee from the employer's payroll:
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93	93		(i) the unpaid wages of the employee become due immediately[,] ; and
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95	95		(ii) the employer shall pay the wages to the employee within [24 hours] three business
96	96		45
97	97		days of the time of separation at the specified place of payment.
98	98		46
99	99		(b) An employer satisfies the [24-hour] three business days time requirement described
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101	101		in Subsection (1)(a) if:
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103	103		(i)(A) the employer mails the wages to the employee; and
104	104		49
105	105		(B) the envelope that contains the wages is postmarked with a date that is no more
106	106		50
107	107		than one day after the day on which the employer separates the employee from
108	108		51
109	109		the employer's payroll; or
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111	111		(ii) within [24 hours] three business days after the employer separates the employee
112	112		53
113	113		from the employer's payroll, the employer:
114	114		54
115	115		(A) initiates a direct deposit of the wages into the employee's account; or
116	116		55
117	117		(B) hand delivers the wages to the employee.
118	118		56
119	119		(c)(i) In case of failure to pay wages due an employee within [24 hours of written
120	120		57
121	121		demand,] three business days, the wages of the employee shall continue, at the
122	122		58
123	123		same rate that the employee received at the time of separation, from the date of [
124	124		59
125	125		demand until paid, but in no event to exceed 60 days, at the same rate that the
126	126		60
127	127		employee received at the time of separation.] separation until the earlier of:
128	128		61
129	129		(A) the date of payment; or
130	130		62
131	131		(B) 60 days after the date of separation.
132		-	- 2 - 02-~~21 12~~:02 2nd Sub. (Gray) H.B. 186
	132	+	- 2 - 02-19 15:28 2nd Sub. (Gray) H.B. 186
133	133		63
134	134		(ii) The employee may recover the penalty [thus ]accruing to the employee in a civil
135	135		64
136	136		action.
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138	138		(iii) When an employer pays the owed wages and the employee disputes the amount,
139	139		66
140	140		the employee shall:
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142	142		(A) give written notice to the employer; and
143	143		68
144	144		(B) allow the employer three business days to respond before the employee may
145	145		69
146	146		initiate legal action.
147	147		70
148	148		(iv) [This action shall be commenced ] The employee shall commence an action to
149	149		71
150	150		recover the penalty within 60 days from the later of:
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152	152		(A) [within 60 days from ]the date the employee exhausts the employee's
153	153		73
154	154		administrative remedies described in Section 34-28-9 and rules made by the
155	155		74
156	156		commission under Section 34-28-9, if the employee filed a wage claim with the
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158	158		division; or
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160	160		(B) the date of separation.
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162	162		[(iii) An employee who has not made a written demand for payment is not entitled to
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164	164		any penalty under this Subsection (1)(c).]
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166	166		(2) If an employee[ ] does not have a written contract for a definite period and resigns[ ] the
167	167		80
168	168		employee's employment, the wages earned and unpaid together with any deposit held by
169	169		81
170	170		the employer and properly belonging to the resigned employee for the performance of
171	171		82
172	172		the employee's employment duties become due and payable on the next regular payday.
173	173		83
174	174		(3) If work ceases as the result of an industrial dispute, the wages earned and unpaid at the
175	175		84
176	176		time of this cessation become due and payable at the next regular payday, as provided in
177	177		85
178	178		Section 34-28-3, including[,] :
179	179		86
180	180		(a) [without abatement or reduction, ]all amounts due [all persons whose work has been
181	181		87
182	182		suspended as a result of the industrial dispute, together with] without abatement or
183	183		88
184	184		reduction; and
185	185		89
186	186		(b) any deposit or other guaranty held by the employer for the faithful performance of
187	187		90
188	188		the duties of the employment.
189	189		91
190	190		(4) For a sales agent employed in whole or in part on a commission basis who has custody
191	191		92
192	192		of accounts, money, or goods of the sales agent's principal, this section does not apply to
193	193		93
194	194		the commission-based portion of the sales agent's earnings if the net amount due the
195	195		94
196	196		agent is determined only after an audit or verification of sales, accounts, funds, or stocks.
197	197		95
198	198		Section 3. Effective Date.
199	199		96
200	200		This bill takes effect on May 7, 2025.
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