Dues check-off: Overview, definition, and example
What is dues check-off?
Dues check-off is a contractual arrangement where an employer automatically deducts union dues or other membership fees from an employee’s paycheck and remits them directly to the union or organization. This system ensures timely and consistent payment of dues without requiring employees to make manual payments.
For example, in a unionized workplace, employees who are members of a labor union may have their union dues automatically deducted each pay period as part of a dues check-off arrangement.
Why is dues check-off important?
Dues check-off is important because it ensures that union dues or other required payments are collected efficiently and consistently, reducing administrative burdens for both employees and unions. It also helps strengthen union funding and simplifies payment management.
For employers, dues check-off arrangements are often negotiated as part of collective bargaining agreements (CBAs) and must comply with labor laws and employee rights regulations. Employees typically have the right to authorize or revoke check-off deductions in accordance with union policies and local labor laws.
Understanding dues check-off through an example
A manufacturing company with a unionized workforce includes a dues check-off provision in its collective bargaining agreement. This provision states that union dues will be automatically deducted from employees’ wages and transferred to the union every month, ensuring a steady flow of funds for union activities.
In another case, a government employee association has an agreement with a public agency to collect membership dues via payroll deductions. Employees sign authorization forms allowing deductions, but they also have the right to opt out or cancel deductions according to the terms of the agreement.
Example of a dues check-off clause
Here’s how a dues check-off clause might appear in a contract:
“The Employer agrees to deduct union dues from the wages of employees who have authorized such deductions in writing. The deducted amounts shall be remitted to the Union on a monthly basis. Employees may revoke their authorization in accordance with applicable laws and union policies.”
Conclusion
Dues check-off simplifies the process of collecting union or membership fees by automating payroll deductions, ensuring timely payments, and reducing administrative burdens. This provision is commonly included in collective bargaining agreements and employee association contracts to facilitate financial contributions while complying with labor regulations. A well-drafted dues check-off clause helps define authorization procedures, employer responsibilities, and employee rights, ensuring clarity and compliance for all parties involved.
This article contains general legal information and does not contain legal advice. Cobrief is not a law firm or a substitute for an attorney or law firm. The law is complex and changes often. For legal advice, please ask a lawyer.