Workers’ Benefits and Wage Supplements Protected by Law

In Montgomery, Pennsylvania, benefits and other wage supplements are a protected part of some workers’ employment payment packages. No private agreements can put aside any part of the law, so employees are always guaranteed protection.

What are Wage Supplements and Benefits?

The Wage Payment and Collection Law defines wage supplements and benefits as any payments made by the employer for the benefit of the employee, or contractually stipulated payments made directly to the employee in addition to their regular wages.

These benefits often include the following:

  • Reimbursement for expenses paid by employees while performing their job duties
  • Payment of union dues when the amount is withheld by an employer for that purpose
  • Holiday, vacation, or separation pay
  • Payment of employee benefit plans

All benefits and wage supplements are governed by employee contracts, so any additional benefits employers provide for each of their workers may differ greatly from one contract to the next.

When Benefits and Wage Supplements Must Be Paid

The WPCL states that all benefits and wage supplements must be paid within 10 days of the contractual date that payments are required to be made.

If the date or time for payment is not specified, the employer must honor an employee’s claim for payment within 60 days. If they fail to do so, they are in clear violation of the law and may be subject to severe civil or criminal penalties.

Can Employers Withhold Wage Supplements or Benefits?

According to Smart Business Magazines, employers make the biggest blunders when dealing with payments and benefits when a worker leaves the company. They may feel entitled to withhold final payments for certain benefits based on an employee’s choice to leave, or if they were terminated for egregious behavior.

Regardless of how the employer feels, it does not excuse the business from its legal obligation to supply any benefits provided for in the contract. All contractual obligations must be met in their entirety, with no exceptions, in order for employers to maintain compliance with the WPCL.

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