Scrip, tokens, credit cards, “dope checks,” coupons, and similar devices are not proper
mediums of payment under the Act. They are neither cash nor “other facilities” within the meaning of section 3(m). However, the use of such devices for the purpose of conveniently and accurately measuring
wages earned or facilities furnished during a single pay period is not prohibited. Piecework earnings, for example, may be calculated by issuing tokens (representing
a fixed amount of work performed) to the employee, which are redeemed at the end of
the pay period for cash. The tokens do not discharge the obligation of the employer to pay wages, but they
may enable him to determine the amount of cash which is due to the employee. Similarly, board, lodging, or other facilities may be furnished during the pay period
in exchange for scrip or coupons issued prior to the end of the pay period. The reasonable cost of furnishing such facilities may be included as part of the
wage, since payment is being made not in scrip but in facilities furnished under the
requirements of section 3(m). But the employer may not credit himself with “unused scrip” or “coupons outstanding”
on the pay day in determining whether he has met the requirements of the Act because
such scrip or coupons have not been redeemed for cash or facilities within the pay
period. Similarly, the employee cannot be charged with the loss or destruction of scrip
FindLaw Codes may not reflect the most recent version of the law in your jurisdiction. Please verify the status of the code you are researching with the state legislature or via Westlaw before relying on it for your legal needs.
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