I work for a public school district in the State of Michigan and I am researching whether or not the district can mandate direct deposit of wages for all employees (either by depositing wages directly in to the bank account(s) of the employee or by issuing pay cards). Where would I be able to find information to help me with this research. A couple of the questions that I would like answered are:

1. As a public employer, can the district mandate direct deposit ?

2. Would current employees have to be "grandfathered" - i.e., not required to participate in the direct deposit requirement?

Thank you for any help that you can give me on this matter.

-Nancy R

Found this here:
http://www.michigan.gov/dleg/0,1607,7-1 ... --,00.html

Only a few states (NC being one of them) allow an employer to mandate direct deposit as a condition of employment.

You could put out something like "It is expected that all employees will enroll in direct deposit" but you can't absolutely require it.

Not my area of expertise (especially in MI), but it is very common for governmental employees to not be subject to the same rules that private sector employees are. While I am in agreement that MI prohibits mandatory direct deposit for private sector employees, I am going to suggest that it is possible that this is maybe not true for public sector employees.

Although most states doesn't mandate direct deposit, I think that most states should look into it. It saves the company time and money. It also makes the payroll process more efficient.