Assigned to ED AS PASSED BY COW
ARIZONA STATE SENATE
Fifty-Third Legislature, Second Regular Session
technical correction; joint
school district
(NOW: school employees; contracts; revisions)
Purpose
Allows employee leasing firms that contract with a school district to withhold wages for up to seven business days during their normal two-week payroll processing cycle.
Background
Statute prescribes mandatory employment practices for private and public sector employers. Employers in Arizona must designate at least two fixed days a month, not more than 16 days apart, for payment of employee wages. Employers with a payroll system centralized outside of Arizona may compensate employees once a month. Within five business days from the end of a pay period, employers in Arizona, except school districts, must personally deliver, or deposit in U.S. mail, wages owed to the employee from the most recent pay period. School districts may withhold wages for up to seven business days during their normal two-week payroll processing cycle (A.R.S. § 23‑351).
There is no anticipated fiscal impact to the state General Fund associated with this legislation.
Provisions
1. Allows employee leasing firms that contract with a school district to withhold wages for up to seven business days during their normal two-week payroll processing cycle.
2. Defines employee leasing firm as a company that places its contracted, leased and coemployed employees in administrator, certified, classified or extracurricular positions with a school district.
3. Makes technical changes.
4. Becomes effective on the general effective date.
Amendments Adopted by Committee
· Adopted the strike-everything amendment.
Amendments Adopted by Committee of the Whole
· Modifies the definition of employee leasing firm.
Senate Action
ED 02/15/18 DPA/SE 6-0-1
Prepared by Senate Research
February 22, 2018
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