Bulletin: Labor and Employment Compliance – D.C. Wage Theft Amendment to take Effect
D.C. Wage Theft Amendment Set To Take Effect
On September 29, 2014, D.C. Mayor Vincent Gray signed into effect the District of Columbia Wage Theft Prevention Amendment Act of 2014. This amendment is of interest to D.C. employers in that it greatly increases their obligations and accountability while also adding penalties and a hearing process. Of particular importance to employers is the new requirement for a written notice to be given employees. This includes a one-time all employee notification within 90 days of the amendment’s effective date and notification to all new hires moving forward.
The written notice provision is similar to those already in place in New York and California, so some employers may already be familiar with many of the elements required. The notice is to be given to the employee in English and in the employee’s primary language. As of now, no model notice has been supplied by the mayor’s office, but one is to be supplied within 60 days of the amendment’s effective date. Data points to be included in the notice are: 1) employer name, address and telephone number, 2) the employee’s date of pay, regular pay rate and basis of pay, and 3) information deemed material and necessary by the mayor’s office, and 4) overtime rates of pay.
Employers are also required to retain copies of the notice that have been signed by both employer and employee as proof of compliance under the amendment. Failure of an employer to abide by these provisions could result in penalties of $500 per employee and invite D.C. regulators to more closely examine other areas of the Wage Theft law which carry much higher penalties and possible jail time.
There is some uncertainty as to the effective date of the notice requirement. The original date was set to be January 14th, with emergency amendments pushing that back to January 29th. However, staffers in the mayor’s office indicate that due to the new Congress, the effective date could be pushed back to February or even March. Employers should stay tuned to this space for more details as they become available and have a solution at the ready for new hires.
Employers should continuously monitor the compliance landscape to keep abreast of changes in state notification requirements that might affect them. Equifax Workforce Solutions can help simplify compliance with the various state and local notifications through an easily-managed portal that helps ensure compliance with new regulatory guidelines. To learn more about how Equifax Workforce Solutions can help you stay abreast of all state and federal notice requirements, please send us an email with the subject line of “Labor & Employment Compliance Bulletin.”