SB40: Bill Text

SB40,9,24 109.09 (2) (a) The department of workforce development, under its authority under sub. (1) (b) to maintain actions for the benefit of employees, or an employee who brings an action under s. 109.03 (5) shall have a lien upon all property of the employer, real or personal, located in this state for the full amount of any wage claim or wage deficiency.

SB40,11 Section 11. 109.09 (2) (b) 3. of the statutes is amended to read:

SB40,10,8 109.09 (2) (b) 3. The department of workforce development or employee must file the notice under subd. 1. or 2. within 2 4 years after the date on which the wages were due. The notice shall specify the nature of the claim and the amount claimed, describe the property upon which the claim is made, and state that the person filing the notice claims a lien on that property.

SB40,12 Section 12. 109.09 (2) (c) 2. of the statutes is amended to read:

SB40,10,19 109.09 (2) (c) 2. Except as provided in this subdivision, a lien under par. (a) does not take precedence over a lien of a commercial lending institution against the employer that originates before the lien under par. (a) takes effect. Subject to subd. 3., a lien under par. (a) takes precedence over a lien of a commercial lending institution against the employer that originates before the lien under par. (a) takes effect only as to the first $3,000 of unpaid wages covered under the lien that are earned by an employee within the 6 months preceding the date on which the employee files the wage claim under sub. (1) (a) or brings the action under s. 109.03 (5) or the date on which the department receives the wage claim under s. 109.10 (4) (a), whichever is applicable.

SB40,13 Section 13. 109.11 (title) of the statutes is amended to read:

SB40,10,21 109.11 (title) Penalties and surcharge.

SB40,14 Section 14. 109.11 (1) (a) of the statutes is amended to read:

SB40,11,4 109.11 (1) (a) In adjusting a controversy between an employer and an employee as to regarding an alleged wage claim filed with the department under s. 109.09 (1) (a), the department may compromise and settle that wage claim for such sum as may be agreed upon between the department, the employee, and the employer. The department shall add to the sum owed both interest at the rate of 2 percent per month for each month that the wages were due and unpaid and the surcharge specified in sub. (4).

SB40,15 Section 15. 109.11 (1) (b) of the statutes is renumbered 109.11 (1) (b) 1. and amended to read:

SB40,11,16 109.11 (1) (b) 1. If the department finds that a wage claim is valid, the department may instruct the employer against whom the wage claim is filed to audit his or her payroll records to determine whether the employer may be liable for any other wage claims that are of the same type as the wage claim that prompted the audit instruction. If after the requested completion date of the audit the department receives a wage claim against the employer that is of the same type as the wage claim that prompted the audit instruction and if the department determines that the subsequent wage claim is valid, the department may audit the employer's payroll records to determine whether the employer may be liable for any other wage claims that are of the same type as the wage claim that prompted the audit instruction.

SB40,12,5 2. For any valid wage claim that is filed against an employer after the department has instructed the employer to audit his or her payroll records under this paragraph subd. 1. and that is of the same type as the wage claim that prompted the audit instruction and for any valid wage claim that is discovered as a result of the department's audit under this paragraph subd. 1. and that is of the same type as the wage claim that prompted the audit instruction, the department shall require the employer to pay, in addition to the amount of wages due and unpaid, increased wages of not more than 50 percent of the amount of wages due and unpaid , interest on the amount of wages due and unpaid at the rate of 2 percent per month for each month that the wages were due and unpaid, and the surcharge specified in sub. (4), unless the employer shows the department that payment of the increased wages , interest, or surcharge would cause extreme hardship. The department shall require an employer to make that payment without regard to whether the employer's failure to pay the wages due and unpaid was intentional or unintentional.

SB40,16 Section 16. 109.11 (1) (c) of the statutes is amended to read:

SB40,12,13 109.11 (1) (c) If an employer does not agree to compromise and settle a wage claim under this subsection, the department may refer the wage claim to a district attorney under s. 109.09 (1) (b) or to the department of justice under s. 109.10 (3) for commencement of an action in circuit court to collect the amount of wages due and unpaid plus interest on that amount at the rate of 2 percent per month for each month that the wages were due and unpaid, increased wages as specified in sub. (2) (b), and the surcharge specified in sub. (4).

SB40,17 Section 17. 109.11 (2) (a) of the statutes is amended to read:

SB40,13,2 109.11 (2) (a) In a wage claim action that is commenced by an employee before the department has completed its investigation under s. 109.09 (1) (a) and its attempts to compromise and settle the wage claim under sub. (1), a circuit court may order the employer to pay to the employee, in addition to the amount of wages due and unpaid and in addition to or in lieu of the criminal penalties specified in sub. (3), increased wages of not more than 50 100 percent of the amount of wages due and unpaid, interest on the amount of wages due and unpaid at the rate of 2 percent per month for each month that the wages were due and unpaid, the surcharge specified in sub. (4), and, notwithstanding s. 814.04, reasonable costs and attorney fees. A circuit court may order an employer to make that payment without regard to whether the employer's failure to pay the wages due and unpaid was intentional or unintentional.

SB40,18 Section 18. 109.11 (2) (b) of the statutes is amended to read:

SB40,13,15 109.11 (2) (b) In a wage claim action that is commenced after the department has completed its investigation under s. 109.09 (1) (a) and its attempts to settle and compromise the wage claim under sub. (1), a circuit court may order the employer to pay to the employee, in addition to the amount of wages due and unpaid to an employee and in addition to or in lieu of the criminal penalties specified in sub. (3), increased wages of not more than 100 200 percent of the amount of those wages due and unpaid, interest on the amount of wages due and unpaid at the rate of 2 percent per month for each month that the wages were due and unpaid, the surcharge specified in sub. (4), and, notwithstanding s. 814.04, reasonable costs and attorney fees. A circuit court may order an employer to make that payment without regard to whether the employer's failure to pay the wages due and unpaid was intentional or unintentional.

SB40,19 Section 19. 109.11 (4) of the statutes is created to read:

SB40,14,4 109.11 (4) Surcharge. In addition to the amounts payable under sub. (1) (a) or (b) or (2) (a) or (b), the department shall require, or a circuit court shall order, an employer who fails to pay wages that are due and payable to an employee to pay to the department or circuit court a surcharge of $500 for a first violation, $750 for a 2nd violation, and $1,000 for a 3rd or subsequent violation. If the surcharge is required by the department, the department shall collect the surcharge, deposit the surcharge in the general fund, and credit the surcharge to the appropriation account under s. 20.445 (1) (gu). If the surcharge is ordered by the circuit court, the clerk of circuit court shall collect the surcharge and transmit the surcharge to the county treasurer under s. 59.40 (2) (m), the county treasurer shall pay the surcharge to the secretary of administration under s. 59.25 (3) (f) 2., and the secretary of administration shall deposit the surcharge in the general fund and credit the surcharge to the appropriation account under s. 20.445 (1) (gu).

SB40,20 Section 20. 111.322 (2m) (a) of the statutes is amended to read:

SB40,14,9 111.322 (2m) (a) The individual files a complaint or attempts to enforce any right under s. 103.02, 103.10, 103.11, 103.13, 103.28, 103.32, 103.34, 103.40, 103.455, 104.12, 109.03, 109.07, 109.075, 109.09, 146.997, or 995.55, or ss. 101.58 to 101.599 or 103.64 to 103.82.

SB40,21 Section 21. 111.322 (2m) (b) of the statutes is amended to read:

SB40,14,14 111.322 (2m) (b) The individual testifies or assists in any action or proceeding held under or to enforce any right under s. 103.02, 103.10, 103.11, 103.13, 103.28, 103.32, 103.34, 103.40, 103.455, 104.12, 109.03, 109.07, 109.075, 109.09, 146.997, or 995.55, or ss. 101.58 to 101.599 or 103.64 to 103.82.

SB40,22 Section 22. 814.75 (28) of the statutes is created to read:

SB40,14,16 814.75 (28) The wage claim surcharge under s. 109.11 (4).

SB40,23 Section 23. 893.44 (1) of the statutes is amended to read:

SB40,14,21 893.44 (1) Any action to recover unpaid salary, wages or other compensation for personal services, except actions to recover fees for professional services and except as provided in sub. (2), shall be commenced within 2 4 years after the cause of action accrues or be barred.

SB40,24 Section 24. 893.44 (2) of the statutes is amended to read:

SB40,14,25 893.44 (2) An action to recover wages under s. 109.09 shall be commenced within 2 4 years after the claim is filed with the department of workforce development or be barred.

SB40,25 Section 25 . Initial applicability.

SB40,15,5 (1) Wage claim statute of limitations, interest, and surcharges. The treatment of ss. 109.09 (1) (with respect to the receipt and investigation of a wage claim) and (2) (b) 3., 109.11 (1) (a), (b), and (c), (2) (a) and (b), and (4), and 893.44 (1) and (2) first applies to wages earned on the effective date of this subsection.

SB40,15,8 (2) Filing of wage claims. The treatment of ss. 109.03 (5) and 109.09 (1) (with respect to the filing of a wage claim) first applies to a wage claim action commenced or a wage claim filed on the effective date of this subsection.

SB40,15,11 (3) Written disclosure statements. The treatment of ss. 103.40 and 109.01 (3m) first applies to an employee hired on, or a change in a term of employment effective 7 days after, the effective date of this subsection.

SB40,15,14 (4) Occupational or professional licensing. The treatment of ss. 103.35 (3) to (5) first applies to an application for issuance or renewal of a professional or occupational license filed on the effective date of this subsection.

SB40,26 Section 26. Effective dates. This act takes effect on the day after publication, except as follows:

SB40,15,19 (1) Written disclosure statements. The treatment of ss. 103.40, 109.01 (3m), and 111.322 (2m) (a) and (b) and Section 25 (3 ) of this act take effect on the first day of the 3rd month beginning after publication.

SB40,15,22 (2) Occupational or professional licensing. The renumbering and amendment of s. 103.35, the creation of ss. 103.35 (1) and (3) to (5), and Section 25 (4) of this act take effect on the first day of the 6th month beginning after publication.

SB40,15,23 (End)