Thursday, March 20, 2014

Use of Pay Cards Suspended May 1, 2014

[7/9/14 update:  Act 208,  authorized use of pay cards see: July 9 blog]
 [NOTE:  on April 3, a revised memo extended the date until Sept 1, 2014, see April 3 blog]
       Yesterday,  March 19, 2014, the Director signed a memo suspending the guidelines for use of pay cards in Hawaii as of May 1, 2014.  On May 1, 2014, the State of Hawaii will not recognize the use of pay cards for payment of wages and other forms of payment must be used.

      The guidelines were developed after a 2006 declaratory order authorized their use with certain conditions.  The Director's March 19 memo refers to State legislation active now that relates to this issue.  HB1814, HD2, SD1, was heard and passed out of the Senate Judiciary and Labor Committee yesterday.  The SD1 version should be available soon.  This legislation may effect whether pay cards are permanently banned or allowed to be used with restrictions.

     The memo does not effect the treatment of the direct deposit method of payment. 

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