Can a employer garnish the wages of an employee?

A recent court case upholds the right of an employer to garnish wages if directed by a legal order. In a 2010 case, an employee sued his employer because the employer would not stop a tax garnishment or reduce the amount. The employee lost his case, and the appeals court upheld the decision. [ Bullock v.

When does an employer get a garnishment order?

Garnishments are issued when an employee is in arrears with a payment or a maintenance order. The employer is issued with a garnishment order they are required to withhold a certain amount of money from an employee’s salary.

Can a non answering garnishee be liable for wages?

In the few states that require a disclosure at the end of the garnishment (rather than at the beginning), the non-answering garnishee is usually liable for the amount that would have been withheld from the employees’ wages. Two states, Georgia and Wisconsin, provide employers with an affirmative defense to this nearly unfettered liability.

Can a company be liable for a garnishment judgment?

The creditor may seek another remedy that could attack the company where the employee works. The primary reason that employers generally comply with garnishment judgment is that the company itself could become and remain liable for the full debt owed to the creditor even if the person that owes is not an employee.

How much can an employer claim for wage garnishment?

Under the law, wage garnishments can claim either 25 percent of an employee’s disposable earnings or all disposable earnings beyond 30 times the federal minimum wage, whichever number is less.

Can a employer garnish an employee’s paycheck?

In other words, only a portion of an employee’s paycheck can be applied to wage garnishments. There are cases, however, where wage garnishments can claim even more of an employee’s paycheck, such as in the case of child support, when up to 50 percent of disposable income can be taken. Can employers take action against the employee?

What happens if you lose a wage garnishment case?

If the person who loses the case (the “debtor”) has a job and gets paid wages and he or she does not pay the creditor voluntarily, the creditor can file papers to have part of the employee’s wages taken (garnished or withheld) to pay the money that is owed.

Is the employer liable for writ of garnishment?

In this process, the employer shall not be liable to the debtor for withholding that amount. Side Note: The Consumer Credit Protection Act (CCPA) protects employee’s wages from being garnished up to 25% of their earnings or, 30 times the current fed. minimum wage (whichever is less).