Arkansas - Wage Payment Laws - Employment Law Handbook

Frequency of Wage Payments

Corporations doing business in Arkansas must pay their employees semi-monthly. Corporations with annual gross income of $500,000 or more can pay management level and executive employees who are exempt under the Fair Labor Standards Act (FLSA) and who earn a annual gross salary of more than $25,000 a minimum of once per month. AR Statute 11-4-401

Manner of Wage Payments

An employer may pay employees by cash, check, or direct deposit into the employee’s account. If an employer pays an employee by check drawn on an account with insufficient funds, the employee can insist on being paid future wages in cash. AR Statute 11-4-402

Direct Deposit

An employer may pay wages by direct deposit. However, an employee may opt out of direct deposit by providing the employer a written statement requesting payment by check. AR Statute 11-4-402

Payroll Card

Arkansas labor laws do not specifically address whether an employer may pay an employee their wages by payroll card.

Payment upon Separation from Employment

Employees who are fired, discharged, terminated, or laid off

When an employer discharges or lays off an employee, no matter the reason, the employer must pay the employee all wages due within seven (7) days of the discharge provided the employee has requested or demanded payment. AR Statute 11-4-405. If the employee has not requested or demanded payment, the employer must pay the wages by the next regularly scheduled payday absent some agreement between the employer and the employee to the contrary. AR DOL FAQs

Employees who quit or resign

Arkansas labor laws do not specifically state when employers must pay employees their final wages to employees who voluntarily quit or resign their employment.

Employees who are suspended or resigns due to a labor dispute (strike)

Arkansas labor laws do not specifically state when employers must pay employees their wages to employees who are suspended or who voluntarily resign their employment due to a labor dispute.

Wages in Dispute

Arkansas has no laws addressing an employer’s obligation to pay wages when there is a dispute with an employee regarding all or a portion of wages due.

Deductions from Wages

Arkansas labor laws allows employers to make deductions from employees’ minimum wage and overtime wages if they are:

authorized by Arkansas rules;
authorized or required by law;
taxes that are assessed against the employee and forward by the employers to the appropriate governmental agencies;
court orders to pay sums for the benefit or credit of the employees to creditors, trustees, or other third parties, such as such as wage garnishments, wage attachments, income withholding orders for child support,or bankruptcy proceedings, so long as the employees do not derive profit or benefit from the deduction;
for the employees’ benefit, authorized in writing by the employees, and not otherwise prohibited, including voluntary wage assignments from which the employers do not derive any profit or benefit such as savings bonds, charitable contributions, insurance premiums, and union dues.

Employers may not make deductions from employees applicable minimum wage rate for such items including but not limited to:

spoilage or breakage
cash or inventory shortages or losses
fines or penalties for lateness, misconduct, or quitting by an employee without notice

AR Admin Regs 010.14-107(B), (C)

Uniforms, Tools and Other Items Necessary for Employment

Arkansas does not have any laws requiring an employer to pay for uniforms, tools, or other items necessary for employment.

Pre-hire Medical, Physical, or Drug Tests

Arkansas does not have any laws requiring an employer to pay for pre-hire medical, physical, or drug tests.

Notice of Wage Reduction

Arkansas does not have any laws addressing when or how an employer may reduce an employee’s wages or whether an employer must provide employees notice prior to instituting a wage reduction.

Statement of Wages (Pay Stub)

Arkansas does not have any laws requiring employers to provide employees of notice of wage rates, dates of pay, employment policies, fringe benefits, or other terms and conditions of employment.

Record Keeping Requirements

Arkansas labor laws require employers to retain the wage and hour records for three (3) years. Employers must keep the records in central record keeping office in Arkansas, unless the employer has specifically petitioned to maintain the records outside of the state and are able to produce the records within 72 hours following notice from the state. AR Admin Regs 010.14-102(A)

Employees Generally

Arkansas labor laws require employers to retain the following wage and hour records for employees:

full name used for Social Security record keeping as well as any identifying symbol or number used in place of the name on any time, work, or payroll records;
home address, including zip code;
date or birth, if under 19;
sex and occupation;
time of day and day of week on which the employees’ workweek begins (a single notation is sufficient if the entire workforce have the same workweek and workday beginning);
regular hourly rate of pay for any workweek in which overtime compensation is due, as well as the basis on which wages are paid, such as per hour, per day, per week, per piece or rate of commission;
hours worked each workday and total hours worked each workweek;
total daily or weekly straight time earnings or wages due for hours worked during the workday or workweek, exclusive of overtime compensation;
total overtime compensation which excludes the straight-time earning listed above;
total additions or deductions from wages paid each pay period, as well as the nature of the items which make up the additions or deductions;
total wages paid each pay period;
date of payment and the pay period covered by payment; and
any sub-minimum wages paid to full-time students, student-learners, or disabled persons as permitted by law.

AR Statute 11-4-217; AR Admin Regs 010.14-102(A), (B)

For employees who work on fixed schedules, employers may instead show the hours worked each day and each workweek, the schedule of daily and weekly hours and a statement or other method that indicates that such hours were in fact actually worked. For weeks where an employee worked more or less that the scheduled hours, employers must include the exact numbers of hours worked each day and each week. AR Admin Regs 010.14-102(A)

Employers who make deductions for board, lodging or other facilities must include itemized records, including the nature and amount, of the cost of furnishing the board, lodging or other facilities. AR Admin Regs 010.14-102(B)

Tipped Employees

Arkansas labor laws require employer to retain the wage and hour records listed above for tipped employees plus:

a symbol, letter or other notation identifying each employee whose wage is determined in part by times;
weekly or monthly amount reported by the employee, to the employer of tips received;
amount by which the wages of each tipped employee have bee deemed to be increased by tips as determined by the employer;
hours worked each workday in any occupation in which the employee did not receive tips, and total daily or weekly straight-time payment made by the employer for such hours; and
hours worked each workday in occupations in which the employee receives tips, and total daily or weekly straight-time earnings from such hours.

AR Admin Regs 010.14-102(B)

Exempt Employees

Arkansas labor laws require employers to retain the following wage and hour records for employees exempt from minimum wage and overtime requirements:

full name used for Social Security record keeping as well as any identifying symbol or number used in place of the name on any time, work, or payroll records;
home address, including zip code;
date or birth, if under 19;
sex and occupation; and
time of day and day of week on which the employees’ workweek begins (a single notation is sufficient if the entire workforce have the same workweek and workday beginning).
total additions or deductions from wages paid each pay period, as well as the nature of the items which make up the additions or deductions;
total wages paid each pay period; and
date of payment and the pay period covered by payment.

Arkansas labor laws require employers to retain the following wage and hour records for employees exempt from overtime requirements:

full name used for Social Security record keeping as well as any identifying symbol or number used in place of the name on any time, work, or payroll records;
home address, including zip code;
date or birth, if under 19;
sex and occupation; and
time of day and day of week on which the employees’ workweek begins (a single notation is sufficient if the entire workforce have the same workweek and workday beginning).

AR Admin Regs 010.14-102(B)

Notice Requirements

Arkansas does not have any laws requiring employers to provide employees of notice of wage rates, dates of pay, employment policies, fringe benefits, or other terms and conditions of employment.