Bi-Weekly Pay

Author: bill vernon Date: May 17, 2011

Allowed companies with average payrolls of 200% of the minimum wage, to pay their workers bi-weekly. After decades of struggling to reform the nation’s most restrictive law on weekly pay, the Rhode Island business community was able to win the right for most Ocean State employers to pay workers less frequently than every week. A bi-weekly pay bill without restrictions was approved by House leaders as part of their economic development package, but met resistance in the Senate. The compromise with specific parameters (allowing bi-weekly pay for all employers with average payrolls of 200% of the minimum wage) was approved. The employer must also provide a surety bond for the highest biweekly pay period of the preceding year. 

Instead of the most restrictive law in the nation, Rhode Island probably now has about the fortieth most restrictive. After so many years, this is a huge step in the right direction, but additional changes are necessary to improve the state’s business climate and to bring Rhode Island law into the mainstream with other states with which business competes.

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