An Act To Set Standards for Electronic Methods Used for Wage Payment
Maine Legislature, Session 122, LD 0963
Committee: Labor
Sponsors: HlTfTON, SNOWE-MELLO, COLLINS, EDER, KOFFMAN, SA VIELLO, WEBSTER, STRIMLING
Amends: 26 MRSA §663, 26 MRSA §665

Legislative Document 
No. 963 
H.P.673 
House of Representatives, February 24, 2005 
An Act To Set Standards for Electronic Methods Used for Wage 
Payment 
Submitted by the Department of Labor pursuant to Joint Rule 204. 
Reference to the Committee on Labor suggested and ordered printed. 
'7lJ~ 111· 7i/U£~ 
MILLICENT M. MacFARLAND 
Clerk 
Presented by Representative HlTfTON of Bowdoinham. 
Cosponsored by Senator SNOWE-MELLO of Androscoggin and 
Representati ves: BIERMAN of Sorrento, COLLINS of Wells, EDER of Portland, KOFFMAN 
of Bar Harbor, McKANE of Newcastle, SA VIELLO of Wilton, WEBSTER of Freeport, 
Senator: STRIMLING of Cumberland. 
Prinled PH ft'l:}l:kd paper 
Be it enacted by the People of the State of Maine as follows: 
Sec. 1. 26 MRSA §663, sub-§5, as amended by PL 1965, c. 410, 
§4, is further amended to read: 
5. 
Waqes. 
"Wages" 
paid 
to 
any 
employee 
includes 
compensation paid to 
s~eh the employee in the 
form of legal 
tender of the United StatesT gnQ checks on banks convertible into 
cash on demandT and includes the reasonable cost to the employer 
who furnishes 
s~eh ~ 
employee board or lodging. 
"Wages" also 
includes 
compensation paid 
through 
a 
direct deposit 
system, 
automated teller 
machine 
card or 
other 
means 
of electronic 
transfer as 
long as the employee has agreed to the 
form of 
payment and the employee can make an initial withdrawal of the 
entire net pay without additional cost to the employee: 
Sec. 2. 26 MRSA §665, sub-§I, as amended by PL 1971, c. 620, 
§13, is further amended to read: 
1. 
Examination of records, books; copies. Every employer 
subject to this subchapter shall keep a true and accurate record 
of the hours worked by each employee and of the wages paid, such 
records to be preserved by the employer for a period of at least 
yearSfL 
and shall furnish to each employee with each payment of 
wages a statement whieh-6ha*~ ~ 
clearly shew shows the date of 
the 
pay 
period, 
the 
hours, 
total 
earnings 
and 
itemized 
deductions. An employer making payment by direct deposit or other 
means of electronic transfer shall provide each employee with an 
accurate record of the transfer, including the date of the pay 
period, the hours, total earnings and itemized deductions, when 
the transfer is made. 
If the record is provided in an electronic 
format the emplQyer shall prQvide a method by which the employee 
may have ready access to the information and print it without 
cost to 
the 
employee. 
The 
director or his the director's 
authorized representative maYT--aRa upon written complaint 
6ha~~ 
haye--au-t-ho-t--.i-t.-y--t:e enter the place of business or employment of 
any employer or employees in the State, as defined in section 
663, for the purpose of examining and inspecting such recordSf 
and copy any or all of such records as he-e~-his the director or 
the 
directQr's 
authorized 
representative 
may--aeem 
determines 
necessary or appropriate. ARy-aRe-a~~ All information se received 
sha,l,l--.ee.is. considered as confidential and 
sha~~ may not be 
divulged to any other person or agency, except iBse~a~ as may be 
necessary for the enforcement of this subchapter. 
Page l-LR0338 (1) 
SUMMARY 
This bill clarifies that an employer 
may 
pay 
employees 
through electronic 
transfers if there 
is 
no 
charge 
to 
the 
employees and must provide records of electronic transfers.