Charles B. Baldwin has 23 years of experience as an advocate for employers in all aspects of labor and employment matters. He devotes his practice to representing employers in lawsuits and administrative proceedings involving EEO claims, ERISA claims, wrongful discharge, labor arbitrations, NLRB proceedings, wage and hour disputes, union avoidance, employment contracts, noncompetition/trade secret disputes, commercial disputes and class action litigation.
View all articles by Charles BaldwinQ. Can we require employees to use direct deposit?
A. It depends entirely upon where your employees are located. In Indiana, employers are free to require direct deposit. (Note, however, that an employer may not withhold pay merely because an employee has not yet set up a direct deposit account.) Other states (Illinois, for example) prohibit this practice. Therefore, if your company does business in several states, check with your employment attorney to determine the laws that apply in each location.

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