Texas Payday Law Poster Requirements for Employers: Posting and Penalties

Every private employer in Texas has to display the Texas Workforce Commission’s Payday Law notice where employees can see it, filled in with the company’s paydays and pay method. The poster is free from the TWC, covers both the Texas Payday Law and the Texas Unemployment Compensation Act on one page, and comes in English and Spanish. Meeting the Texas Payday Law poster requirements is mostly a matter of downloading the right form, completing a few blanks accurately, and putting it somewhere workers actually go.

Who Has to Post It

The Texas Payday Law defines an employer as any person or business that employs at least one worker, or anyone acting in an employer’s interest toward an employee. Sole proprietors, partnerships, LLCs, and corporations are all covered. One employee on payroll in Texas is enough to trigger the posting rule.

Government employers are the exception. Federal, state, and local government offices follow separate rules and are not subject to the TWC’s standard poster mandate. The requirement is aimed at private-sector employers.

Where to Download the Poster

The official poster is available at no charge on the Texas Workforce Commission’s website.1Texas Workforce Commission. Posters for the Workplace It is a combined notice covering both the Texas Unemployment Compensation Act and the Texas Payday Law, so a single sheet handles both obligations. A Spanish-language version is posted alongside the English one, and employers with Spanish-speaking workers should put up both.

What to Fill In Before You Hang It

The poster has blank fields that have to be completed before display. One section asks for your scheduled paydays. If you pay monthly or semi-monthly, write in the specific dates of the month. If you pay weekly or biweekly, write in the day of the week.2Texas Workforce Commission. Texas Unemployment Compensation Act and Texas Payday Law Poster Another field asks for the place or method of payment: direct deposit, check at a specific office, or payroll card, for example.

Those entries carry weight. The information you write on the poster establishes the pay agreement between you and your employees. If you change your pay schedule or switch from paper checks to direct deposit, update the poster to match. Outdated information posted on the wall is exactly the kind of confusion the law is designed to prevent.

Where to Put It

The poster has to go in a location reasonably calculated to be encountered by all employees during normal working hours.2Texas Workforce Commission. Texas Unemployment Compensation Act and Texas Payday Law Poster Break rooms, areas near time clocks, and common hallways are the usual choices. The test is practical. If employees never visit a particular office, hanging it there does not count.

Businesses with multiple locations need a poster at each site. A copy at headquarters does nothing for workers at a satellite office or job site who never set foot in the main building.3Texas Workforce Commission. Required Posters Every location where employees regularly work should have its own completed poster.

What If All My Employees Work Remotely

If your workforce is entirely remote, electronic posting can substitute for a physical copy, but only when three conditions are met: all employees work remotely full-time, all employees customarily receive information from the employer electronically, and all employees have readily available access to the electronic notice at all times.4United States Department of Labor. Field Assistance Bulletin No. 2020-7

A PDF buried in a corner of your intranet does not meet that standard. Tell employees exactly where to find the notice, and make sure they can open it without requesting special permission. If you have a mix of on-site and remote staff, do both: physical posters at your office locations and electronic access for everyone working from home. Electronic notices do not replace the physical posting requirement for any employees who work on-site.

Keep the Posted Rules in Line With How You Actually Pay

Because the poster memorializes your pay practices, the underlying rules matter. Texas law requires employers to pay employees at least once per month.5State of Texas. Texas Labor Code Chapter 61 – Payment of Wages Most employers pay more often. Non-exempt employees are commonly paid semi-monthly or biweekly, and exempt employees may be paid monthly.

Final pay deadlines also sit behind the notice. When you fire or lay off an employee, their final wages are due within six calendar days of the discharge date. When an employee quits, you have until the next regularly scheduled payday to pay what is owed.6State of Texas. Texas Labor Code LAB 61.014 Missing either deadline is one of the most common triggers for wage claims.

Deductions are the other area where the posted pay promise collides with daily practice. Payroll taxes, court-ordered child support, and other legally required withholdings do not need separate authorization. Everything else does. To deduct for uniforms, equipment shortages, cash drawer losses, or any similar reason, you need the employee’s written authorization before the deduction comes out.7Texas Workforce Commission. Deduction Problems Under the Texas Payday Law A verbal okay does not satisfy the law, even if the employee agreed on the spot.

What Happens If You Don’t Comply

An employee who believes wages were underpaid, late, or improperly deducted can file a wage claim with the Texas Workforce Commission.8Texas Workforce Commission. Wage Claim and Appeal Process in Texas If TWC finds the employer acted in bad faith, it can impose an administrative penalty capped at the lesser of the unpaid wages in question or $1,000 per violation.9State of Texas. Texas Labor Code Section 61.053 – Bad Faith; Administrative Penalty A pattern of complaints or missing posters also invites closer scrutiny during routine TWC audits, and responding to an active investigation costs far more time than keeping the poster current in the first place.