Illinois Governor Signs Bill to Limit Employers’ Usage of Payroll Cards

On August 6, 2014, Illinois Governor Pat Quinn signed legislation (House Bill 5622), now P.A. 98-0862, amending the Illinois Wage Payment and Collection Act to recognize payroll cards as an authorized method for wage payment in Illinois. Beginning Jan. 1, 2015, employers may deposit a consenting employee’s paycheck onto a payroll card, which is similar to debit card. This is a convenient method for receiving paychecks for those without checking accounts or access to direct deposit.