NRMCA Voices Opposition to Federal Labor Wage Garnishing Rule

Last week, NRMCA submitted comments to the U.S. Department of Labor (DOL) opposing an interim final rule that would allow DOL to independently garnish the wages of delinquent non-tax DOL debtors. "DOL has not listed or even detailed the agency’s reason(s) or necessity for such a change," stated NRMCA. "DOL simply states what the agency wants to change and what the change would become. This complete lack of explanation to the public and industry for such a drastic change in DOL policy, and not to mention DOL function, deserves a DOL justification so as to properly have it vetted by both the public and industry, and to maintain transparency in the agency’s operations." The comments continued, "NRMCA believes due process rights are in jeopardy under this proposal by unilaterally garnishing wages without the approval of a judge, and by using phone interviews, letters and "new forms of technology" as hearings instead of oral, in-person, face-to-face meetings."

The interim final rule is nearly identical to a notice published in 2014 by the Environmental Protection Agency (EPA), also attempting to change its delinquent non-tax debt collection procedures. The EPA efforts have been stalled since the comment period closed in late 2014.