Arkansas Paycheck Laws

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 Paycheck Laws of Arkansas

Under Arkansas final paycheck laws, if a company or corporation fires an employee, the employee’s wages are due by the next regular payday. If the employer does not make payment within seven days of the next regular payday, the employee is entitled to double the wages due.

The state minimum wage is $11.00 per hour as of January 1, 2022.

The Arkansas Minimum Wage Act applies to businesses with four or more employees.

Employers subject to the federal Fair Labor Standards Act (FLSA) are also subject to Arkansas law if they have four or more employees. Employers subject to both regulations must pay the highest minimum wage.

Employers are not required by Arkansas labor laws or federal wage and hour rules to give a break or a meal period (state law requires youngsters under the age of 16 working in the entertainment business to take rest periods).

Short rest times of 20 minutes or less are prevalent in industry and increase efficiency. State and federal minimum wage and overtime rules require that these brief periods of time be counted as hours worked and that covered employees be compensated for the time spent.

Genuine meal breaks (usually 30 minutes or more) are often not required to be reimbursed as work time.

However, the individual must be entirely relieved of duty during this time. If the employee is obliged to do any duties while eating, whether active or passive, the lunch hour must be reimbursed as work time.

Neither state nor federal law requires a non-government employer to pay an employee’s wages while he or she is serving on a jury. However, an employee is protected from discharge under both state and federal law.

When Must Paychecks Be Sent Out in Arkansas?

Paychecks should be issued at least bimonthly. It makes no difference under labor laws in Arkansas whether you are a salaried or hourly employee in Arkansas. Your employer must still satisfy the bare minimum of sending out your check semi-monthly.

Non-exempt employees must be paid overtime (one and one-half times their regular rate of pay) for all hours worked in excess of 40 in a workweek. This means that you can work more than 8 hours each day or more than a regularly planned shift without exceeding 40 hours of actual work in a workweek.

If your company pays you for hours not worked, such as a holiday or a sick day, those hours do not count as hours worked under state and federal overtime laws.

What Happens If I Am Fired?

Whether you quit or are fired, you are legally entitled to your last payment within seven days.

Arkansas, like the majority of other states, does not compel your employer to provide you with paid sick or vacation leave. If your company decides to grant you paid leave on its own, you may be owed money for unused sick or vacation days, depending on your contract or employment manual.

Whether you quit or were fired, it may make a difference, but any distinction must be indicated in your employment contract or employee handbook. When determining if you are owed for unused days, thoroughly review your company’s policies.

Can My Paycheck Be Garnished?

Even without a court order, your wages can be garnished to pay for unpaid taxes, owing child support, and defaulted student loans. All other types of debt require a court order authorizing the debt collector to deduct money from your wages.

An employer may also withhold money from your paycheck to cover the cost of any damaged or lost goods or property. However, the deduction cannot lower your weekly pay below the minimum wage if your employer does this.

Can I Recover a Withheld Paycheck in Arkansas?

If your employer refuses to pay you a paycheck that you have earned, you have the right to file a complaint with the Arkansas Department of Labor’s Labor Standards Division.

To file a complaint, you must earn $25,000 or less per year, or the amount owing must be less than $2,000. If you do not meet these conditions, you must sue your employer in court for any owed wages.
You simply cannot hold a paycheck that an ex-employee refuses to accept. Even if a check is abandoned, the employer does not have the right to nullify it and keep the proceeds.

Unclaimed paychecks are technically susceptible to ‘escheat’ laws as unclaimed property under the rules of the state in which the employee last worked. This means that companies must obey their state’s rules when it comes to submitting unclaimed paychecks to the state. Employers who fail to comply may face fines and penalties.

Arkansas’s unclaimed paycheck statutes demand the following reporting and recordkeeping:

  • Employers must keep unclaimed wage records for at least two years after the wages become reportable. With reasonable notice, the state auditor may review the records of employers suspected of being out of compliance.
  • Arkansas employers are required to record and remit unclaimed wages on an annual basis. Typically, the report for unclaimed earnings must be sent before November 1 of each year for wages that had not been claimed as of June 30 of that year.

In terms of recordkeeping, Arkansas employers should consult with their legal counsel to develop methods and procedures for determining how many attempts to contact ex-employees the employer should make.

Is There Anything Else I Should Know?

If a portion of your salary is commission-based, your employer has 30 days to pay that portion. Otherwise, you can go to court or file a claim with the Labor Standards Division.

Employers must abide by the most stringent child labor rules, whether state or federal. To establish which law applies to an employer with employees over the age of 17, an employer earning more than $500,000.00 per year or engaging in interstate commerce is subject to federal and state wage and hour legislation. Employers with four or more employees who earn less than $500,000.00 per year and are not engaged in interstate commerce are subject to state wage and hour legislation.

In general, the minimum age for employment under state and federal child labor regulations is 14. In addition, unless the US Department of Labor finds such labor unsafe, a child can be hired for most jobs at the age of 16. Some exceptions or restrictions exist to these general principles, including the sale or handling of alcohol, work in the entertainment business, and newspaper delivery.

A minor 14 or 15 years old cannot begin work before 6 a.m., work after 9 p.m., or work more than 8 hours a day, six days a week, or more than 48 hours a week when school is not in session, according to Arkansas Child Labor Law.

A 16-year-old cannot begin employment before 6 a.m., work after 11 p.m., work more than 10 hours per day, more than six days per week, or more than 54 hours per week when school is in session the following day. Everything is the same when school is not in session the next day, but there is no limit to how late the minor can work.

Where Can I Find the Right Lawyer?

Receiving the money you have worked so hard for is worth the fight. You should contact an Arkansas employment lawyer if you need to battle for your paycheck or the correct amount.

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