Online paystubs

legaladmin43

We have begun using a new payroll service which had an option to allow employees to register on line and receive their paystub electronically. We elected to use this option. Our prior service allowed me to print the paystubs online as one report and then distribute them singly to each employee.

The registration requires the employee to provide their SSN once - after, when they view their paystub, they only see the last 4 digits. The registration does give the usual warnings about doing this at your own risk...

One employee has objected because she does not believe this is secure, despite my and the payroll services assurances. This employee has now rallied some of the troops to revolt...!

I could have registered all the employees myself, but thought if they provided their own id and password, they would remember them better. Also, I already transmit reports to our 401K provider that contain the employees full SSN, though the report is encrypted once sent.

Question... can we require the employees to register and refuse to produce their paystub in any other manner?

Thanks!

ACU Frank

My knee-jerk reaction would be to tell them that's how they get paid. If they don't like it, they need to work somewhere else. Whether that's legal in your state or not, I'm not sure.

davids

You will want to check your state's wage & hour laws. In Oregon, our law allows for electronic pay stubs only if the employee agrees and has the ability to retain or print the pay stub. So, given your scenario, with the employee not agreeing to the on-line method, we would not be able to mandate it in my state.

legaladmin43

Thank you for your responses. Apparently in PA you have to provide a paystub, but the law isn't specific about how you do that. Also, you cannot compel someone to transmit his or her SSN number over the internet unless it is a secure connection or the transmission is encrypted, both of which are true regarding this payroll service. Once I verify with the Dept of Labor that they don't have some kind of rule I don't know about, we are going to compel all employees to register for an electronic paystub.

HRinGA

we rolled this out a few years ago, although the employees registered with their employee ID#. Is that an option for you? Those who do not elect direct deposit get their paycheck mailed to their home. We still have a few who prefer this method even when they don't get their check until Saturday, sometimes Monday. Go figure.
Anyway, unless the DOL finds some kooky rule, I would say you are OK.