To provide restrictions on the amount of an employee's
wages or salary which may be garnisheed, and prohibit employers from
discharging employees by reason of garnishment for any one indebtedness.
TYPES OF ASSISTANCE:
Advisory Services and Counseling. Place Cursor Here for Definition
Investigation of Complaints. Place Cursor Here for Definition
USES AND USE RESTRICTIONS:
The general rules for applying the Federal restrictions on garnishment,
effective September 1, 1997, are: If an individual's weekly disposable
earnings are $154.50 or less, no amount may be garnisheed; if the weekly
disposable earnings are more than $154.50 but less than $206.00, only the
amount in excess of $154.50 may be garnisheed; and if the weekly disposable
earnings are in excess of $206.00 or more, 25 percent of disposable earnings
may be garnisheed. The Act, as amended, limits court orders for the support of
any person to 50 percent of the disposable earnings of an individual
supporting another spouse or child and to 60 percent of disposable earnings if
not. An additional 5 percent may be garnished for support payments more than
12 weeks in arrears. The order must be issued by a court of competent
jurisdiction or in accordance with an administrative procedure, which is
established by law, which affords substantial due process, and which is
subject to judicial review. The restrictions do not apply under Federal
bankruptcy proceedings for wage-earners, nor do they apply to debts due for
State or Federal taxes. In addition, garnishments issued under the laws of any
State may be exempted from the operation of the Federal law where the
Secretary of Labor determines that such laws provide substantially similar
restrictions. Under no circumstances may an employee be discharged from
employment by reason of garnishment for any one indebtedness, although State
laws may provide additional protection.
ELIGIBILITY REQUIREMENTS:
Applicant Eligibility: Any person whose earnings
have been subjected to garnishment is entitled to the protection provided by
the Act in the United States, the District of Columbia, Puerto Rico, the
Virgin Islands; Outer Continental Shelf lands defined in the Outer Continental
Shelf Lands Act (Chapter 345, 67 Stat. 462); American Samoa, Guam, Wake
Island; and Johnston Island. Under the law, earnings are defined as
compensation paid or payable for personal services, including wages, salary,
commissions, bonuses, and including periodic payments pursuant to a pension or
retirement program.
Beneficiary Eligibility: Any person whose
earnings have been subjected to garnishment.
Pre-application Coordination: None. This program is
excluded from coverage under E.O. 12372.
Application Procedure: Persons having knowledge
of wage and employment practices which are not in compliance with the minimum
standards of these acts, and persons seeking advice or assistance concerning
the application of the Federal wage garnishment law to specific situations,
including persons seeking remedy to an illegal action under the law, should
contact the nearest office of the Employment Standards Administration, Wage
and Hour Division listed in the telephone directory under United States
Government, Labor Department. If no listing is shown for you locality, contact
the nearest district office of the Wage and Hour Division listed in Appendix
IV of the Catalog under the Employment Standards Administration. Unless
otherwise authorized, the names of persons making inquiries are kept
confidential to the maximum extent possible under existing law.
Award Procedure: Not applicable.
Deadlines: None.
Range of Approval/Disapproval Time: Not
applicable.
Appeals: Not applicable.
Renewals: Not applicable.
ASSISTANCE CONSIDERATIONS:
Formula and Matching Requirements: Not applicable.
Length and Time Phasing of Assistance: Not
applicable.
POST ASSISTANCE REQUIREMENTS:
Reports: Not applicable.
Audits: Not applicable.
Records: Not applicable.
FINANCIAL INFORMATION:
Account Identification: 16-0105-0-1-505.
Obligations: (Salaries and Expenses) Not
Separately Identifiable. (Note: Obligations for 17.306 are included in program
17.303.)
Range and Average of Financial Assistance: Not
applicable.
Joint agreements to refer inquiries, complaints and leads have been entered
into by the Employment Standards Administration and the Federal Trade
Commission.
REGULATIONS, GUIDELINES, AND LITERATURE:
Publications furnished free in limited quantities: Pamphlet: The Federal Wage
Garnishment Law, Basic Information. Regulations, 29 CFR Part 870, Restriction
on Garnishment.
INFORMATION CONTACTS:
Regional or Local Office: Persons having knowledge
of wage and employment practices which are not in compliance with the minimum
standards of these acts, and persons requesting information or publications
should contact the nearest Office of the Wage and Hour Division, listed in the
telephone directory under United States Government, Labor Department. If no
listing is shown for your locality, contact the nearest district office of the
Employment Standards Administration, Wage and Hour Division, listed in the
Appendix IV of the Catalog.
Headquarters Office: Administrator, Wage and Hour
Division, Employment Standards Administration, Department of Labor,
Washington, DC 20210. Telephone: (202) 693-0051.
