2012 American Payroll Association Legislative Issues

In 2011, the American Payroll Association supported multiple pieces of legislation that were introduced, but not accepted into law. In 2012, we should expect to see the APA fighting to have some of these bills reconsidered at both the state and federal levels.

Automatic IRA Act

The S 3760 would require companies, who previously did not offer retirement accounts to employees, to automatically enroll employees in individual retirement accounts. The bill was introduced to Congress and several states, but was turned down. The APA is urging for it to be reconsidered in 2012.

American Jobs Act

Although the initial package did not get past Congress, it is likely we will see bits and pieces of the American Jobs Act introduced separately or squeezed in with other legislation throughout 2012.

The APA is interested in the effect the individual proposals will have on payroll professionals. They are specifically tracking the Social Security Preservation Through Individual Choice Enhancement Act. The act would allow employees the option of participating in any temporary tax holiday passed by Congress.

Mobile Workforce Bill

HR 1864 concerns employees who travel interstate on short term work assignments. The bill would limit states’s ability to tax certain incomes, which would limit states’ ability to tax certain incomes, which would in turn reduce administrative tasks for payroll departments.  The bill was passed by the House Judiciary Committee but has not been voted on by the full House.

State Paycard Bills

Not all states have addressed the use of paycards as wage payment in their related laws and regulations. The APA is lobbying for state paycard legislation to be passed.

There will be bills reintroduced in Connecticut, New Mexico and California in 2012.

State Garnishment Bills

Georgia legislature is considering SB 11. The bill affects the amount of time employees have to respond to a garnishment order. It is expected to be reintroduced in 2012.


Check back with our HRIS News Blog page often for future local, federal and state updates.

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