AL HB299

Municipalities may adopt a policy to require new employees hired after policy adoption to participate in direct deposit of wages.

Municipalities must provide employees with an electronic fund transfer authorization form and deposit wages into a financial institution selected by the employee.

Municipalities must provide employees with a direct deposit statement for each pay period showing total wage amount, deductions, and the amount directly deposited.

Municipalities cannot require direct deposit if the employee would incur fees and no comparable fee-free financial institution is available in the municipality.

Employees may opt out of the direct deposit requirement by submitting a written request to their employer by the end of the first pay period, or once annually thereafter.