LOU LEG Employee Termination Payment

Updated on: Jun 18, 2025

Latest Event


  • Jun. 2025 LOU LEG Governor Approval
  • On Jun. 8, 2025, LOU LEG reported that bill was approved by governor, became Act 113 without governor signature; Act 113 becomes effective as of Aug. 1, 2025.
  • Document dated Jun. 8, 2025, received from LOU LEG Jun. 14, summarized Jun. 17.

On May 27, LOU LEG passed bill on employee payment re termination.

  • LOU LEG passed bill SB 133 on employee's payment after termination of employment.
  • Amendments made by bill enacts LOU LEG 23.631(F) on payment of employees.
  • Bill Provisions
  • At present the law provides that upon discharge of any laborer or other employee, an employer will pay the employee the amount that is then due, accordingly.
  • This is whether the employment is by the hour/day/week/month, on or before the next regular payday, no later than 15 days following the discharge date, whichever is first.
  • Proposed law retains present law, adding that present law will not apply to profits interest granted/issued by an entity taxed as a partnership re federal income tax.
  • Legislative History
  • On Apr. 14, 2025, bill introduced in Senate; on Apr. 29, 2025, bill passed in Senate.
  • On Apr. 30, 2025, bill introduced in House; on May 27, 2025, bill passed in House.
  • Effectiveness
  • If approved, bill becomes effective on Aug. 1, 2025.
  • Jun. 2025 LOU LEG Governor Approval
  • On Jun. 8, 2025, LOU LEG reported that bill was approved by governor, became Act 113 without governor signature; Act 113 becomes effective as of Aug. 1, 2025.
  • Document dated Jun. 8, 2025, received from LOU LEG Jun. 14, summarized Jun. 17.
Regulators
LOU LEG
Entity Types
Corp
Reference
Act 113, Bill SB133, 6/8/2025; Bill SB133, 5/27/2025; Citation: LOU LEG 23.631;
Functions
Compliance; Financial; HR; Legal; Reporting; Tax
Countries
United States of America
Category
State
N/A
Products
Corporate
Rule Type
Final
Regions
Am
Rule Date
May 27, 2025
Effective Date
Aug 1, 2025
Rule ID
256536
Linked to
N/A
Reg. Last Update
Jun 8, 2025
Report Section
US Consumer