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Charge For Direct Deposit of Paycheck - Legal? Jeffrey A. Dretler Provides Advice in June 29, 2009 “Job Doc” Column Boston.com June 29, 2009Jeff responds to a situation where a part-time and substitute school librarian is having a small fee deducted from her paycheck to “cover the admin costs associated with writing the check,” even though she is using direct deposit.
Jeff states that "Massachusetts law does not specifically address direct deposit, but does require that an employer provide a paycheck to an employee for cashing at a bank or elsewhere 'without charge by deduction from the face amount thereof.'” He adds that the Massachusetts Attorney General would likely view the school's practice as a violation of the law.
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