- Associated Press - Wednesday, May 27, 2015

ALBANY, N.Y. (AP) - New York labor officials have proposed regulations on employers that pay workers with payroll debit cards to prevent them from either profiting or passing along expenses from using the cards.

The Department of Labor’s draft regulations published Wednesday would require employees’ consent to take a debit card and require advising where they can withdraw their wages for free “within reasonable proximity” to their homes and workplaces.

Fees for customer service, account maintenance, overdraft and inactivity would be prohibited.

According to state officials, an estimated 13,000 businesses statewide pay about 200,000 workers with debit cards.

The regulations are subject to public comments and could take effect in 45 days.

Gov. Andrew Cuomo says the regulations “crack down on one of the more underhanded forms of wage theft.”


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