Pay Cards Coming
NMU will stop issuing paper paychecks in early 2012. The university is negotiating with a vendor to supply pay cards—either VISA or MasterCard—to those who do not participate in direct deposit. Each card will be loaded on pay day with the appropriate amount. Employees can access their balance in a variety of ways, such as obtaining cash at any bank or credit union that accepts the card or making point-of-sale purchases on the balance.
Less than 10 percent of NMU employees still receive paper checks. Most of those are students, according to Lindsey Butorac (Human Resources).
“We distribute 150 to 300 checks each payday, depending on whether school is in session and how many students are on campus,” she said. “The pay cards will come with mobile banking apps and the option to text to find out your balance, in addition to online account access. These are tools students and other employees will likely use regularly with their cell phones. The cards will reduce walk-in traffic at Human Resources and minimize costs associated with printing checks and reissuing those that people misplace.”
Butorac said Michigan Public Act No. 323, passed in December 2010, allows employers in the state to discontinue paper checks. NMU will begin implementing pay cards during the winter semester.