Employer Asking Employees To Sign A Form Stating They Won't Make Any Political Contributions, On Top Of Asking Them Install The Paylocity App Which Claims To Monitor Banking Information.

Location: North Carolina

My partner works for a (used to be local) residential/commercial services business that was recently bought out by a private equity group in North Carolina. Upon completion of the sale there were some changes internally, including moving all of the staff's payroll management to Paylocity. The staff is being asked to agree to Paylocity's terms of service, the first of which is that if their app is installed on their phone, allows Paylocity to collect, sell, and monitor their personal banking information.

On top of this, they're being asked to sign an electronic document stating that they will not make any political contributions. At the outset, it looks as if the intention is to have the employees consent to the monitoring of their spending and retaliation if they choose to spend their personal money on political causes that don't align with the views of their new corporate owners. We're curious, has anyone ever seen anything like this? Is this legal?

Below is a copy/paste from the political contributions form:

"3. PROHIBITIONS

3.1 Prohibition on Political Contributions

(i) The Company, (ii) all Covered Persons acting in their capacity as representatives or agents of the Company and (iii) all Officers, whether acting in their capacity as representatives or agents of the Company or in their own personal capacity , are strictly prohibited from making, authorizing, facilitating, or directing — directly or indirectly — any Political Contribution to any Covered Recipient.

This prohibition applies regardless of:

• Whether the contribution is made in the Company's name or in the name of any individual;

• The amount of the contribution;

• Whether the contribution is monetary or in-kind;

• Whether the Political Contribution is lawful under applicable election law.

3.2 Prohibition on Gifts

The Company, and all Covered Persons (including any Officer, whether acting in such Officer’s capacity as a representative or agent of the Company or in such Officer’s personal capacity), are strictly prohibited from providing, offering, promising, or authorizing — directly or indirectly — any Gift to any Covered Recipient.

3.3 Prohibition on Entertainment

The Company, and all Covered Persons (including any Officer, whether acting in such Officer’s capacity as a representative or agent of the Company or in such Officer’s personal capacity), are strictly prohibited from providing, offering, promising, or authorizing — directly or indirectly — any Entertainment to any Covered Recipient.

3.4 Prohibition on Indirect Conduct

No Covered Person (including any Officer, whether acting in such Officer’s capacity as a representative or agent of the Company or in such Officer’s personal capacity) may take any action to circumvent the prohibitions set forth in this Policy by:

• Directing, requesting, or encouraging a third party (including vendors, consultants, lobbyists, or family members) to make a Political Contribution, provide a Gift, or provide Entertainment on behalf of or at the request of the Company;

• Reimbursing or compensating any person for making a Political Contribution, providing a Gift, or providing Entertainment in violation of this Policy;

• Using a subsidiary, affiliate, PAC, or other intermediary entity as a conduit for prohibited activities.

3.5 Prohibition on Registration as a Lobbyist

The Company, and all Covered Persons (including any Officer, whether acting in such Officer’s capacity as a representative or agent of the Company or in such Officer’s personal capacity), are strictly prohibited from taking any actions that would require under applicable law that the Company or such Covered Person be registered as a lobbyist in the State of Maryland.

3.6 Personal Political Activity

Nothing in this Policy is intended to prohibit Covered Persons (except Officers) from engaging in personal political activity on their own time and using their own personal funds, provided that:

• Such activity is conducted entirely in a personal capacity and not on behalf of the Company;

• No Company resources (including time, equipment, facilities, funds, or personnel) are used in

connection with such activity;

• Such activity does not involve a contribution to a Covered Recipient that would violate applicable law or this Policy;

• The Covered Person does not represent or imply that the activity is endorsed by or affiliated with the Company. Covered Persons who are unsure whether their personal political activity could conflict with this Policy should consult with the Chief Executive Officer or Chief Financial Officer of the Company before taking action."