Senate Bill 99 – Wage Assignments for Clothing and Tools
Authored by Sen. Phil Boots (R-Crawfordsville)

Provides that a wage assignment for the purchase, rental or use of uniforms, shirts, pants and other job-related clothing may not be an amount that exceeds the direct cost paid by the employer to an external vendor for those items. Provides that a wage assignment may be made for the rental of uniform shirts, pants and job-related clothing. Provides that a wage assignment may be made for the purchase of equipment or tools necessary to fulfill the duties of employment. Full details.

Chamber Position: Support

The Latest: After a few weeks of not being added to the Senate calendar, Sen. Boots filed a motion to dissent. The conference committee was held Thursday and a conference committee report (CCR) was provided to committee members. The CCR attempts to make retroactive the effective date on the rental of uniforms and clothing. This would address those businesses that relied upon the Department of Labor memo that included rental of clothing as a permissible wage assignment and deduction.

Indiana Chamber Action/Commentary: Senator David Niezgodski (D-South Bend) has indicated that most likely his caucus will allow him to sign the CCR.  On the other hand, Rep. Lisa Beck (D-Hebron) is still a question mark despite the fact that the labor union has given her the OK to sign it. Representative Heath VanNatter (R-Kokomo), chairman of the House Employment, Labor and Pensions Committee, is expected to sign the CCR after he confers with his caucus.

Under this bill, at an employee’s request, the employer would pay the upfront purchase costs for job-required tools and the upfront rental fee for job-related clothing. Then the employee would have the costs deducted from their wages. This arrangement relieves a monetary burden for employees and assists employers in the hiring process.

Resource: Mike Ripley at (317) 264-6883 or email: [email protected]