What is meant by a salary withholding program?
In 1990, legislation was signed that included a feature calling for a “salary withholding and lump sum payment program”. This program is to be implemented by reducing full-time and part-time salaried employees’ paychecks by 10% in the first five consecutive pay periods. At the end of the fifth payroll period, the payroll will revert to the regular 100% pay rate and employees will receive their full paychecks.
