Wage theft is the broad term for when employers refuse to pay employees what they are legally owed for their work. This is a disturbingly common problem, resulting in billions of dollars in losses to employees who are denied their rightly earned wages and benefits. Here are seven ways employers may engage in wage theft:
- Unpaid wages
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- One of the most obvious forms of wage theft is, simply, an employer refusing to pay employees. Every worker is entitled to the wages they have been promised, and can seek compensation if their employer refuses to pay.
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- Unpaid or underpaid overtime
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- Employers can also steal wages by failing to pay employees appropriately for overtime. They may simply refuse to pay overtime, or may pay a standard wage instead of time-and-a-half, as the law requires.
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- Refusing to grant breaks
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- Employees are guaranteed breaks for meals and rest, as appropriate for their position. Employers who try to penalize employees for being on break, or refuse to grant breaks, are committing a form of wage theft.
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- Illegal deductions
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- While employers can deduct income from employee paychecks under certain limited circumstances, many types of deductions are illegal. When employers abuse this authority, it is considered a type of wage theft.
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- Tip stealing
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- Often, employees take a significantly reduced salary in exchange for being able to earn tips. When employers steal employee tips, they are also effectively stealing from their pay.
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- Unjustly denying sick leave
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- All employees are entitled to a certain amount of sick leave to deal with illness or family emergencies. When employers fail to grant employees the sick leave they are entitled to, or penalize employees for calling out sick, it can be considered a form of wage theft.
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- Failing to pay commissions
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- Many types of jobs incentivize workers with the promise of commissions for increased sales or other performance metrics. When employers fail to pay out commissions as promised, they commit wage theft.
Steven Mitchell Sack, the Employee’s Lawyer, is a New York employment lawyer with more than 44 years’ experience handling the many aspects of employment law. His new book, “Fired!: Protect Your Rights & FIGHT BACK If You’re Terminated, Laid Off, Downsized, Restructured, Forced to Resign or Quit,” is available in hardback, and contains valuable advice on dealing with employment and labor law issues. To purchase the book, feel free to contact Steven Sack at 917-371-8000 or visit the website at legalstratpub.com. To inquire about a legal matter, please feel free to contact attorney Steven Sack at 917-371-8000 or stevensackatty@hotmail.com.
