Can my employer legally NOT pay me for my time worked/line produced due to their client not paying them for work produced??

UPDATED: Jun 30, 2009

Advertiser Disclosure

It’s all about you. We want to help you make the right legal decisions.

We strive to help you make confident insurance and legal decisions. Finding trusted and reliable insurance quotes and legal advice should be easy. This doesn’t influence our content. Our opinions are our own.

Get Legal Help Today

Compare Quotes From Top Companies and Save

secured lock Secured with SHA-256 Encryption

Can my employer legally NOT pay me for my time worked/line produced due to their client not paying them for work produced??

I am a full-time independent contractor medical transcriptionist. I am paid piece rate for lines typed. We all received an email from the CEO stating that their client will not pay them for erroneous reports typed by us, therefore the employer will NOT pay us for those lines typed for that incorrect report! Can the employer legally withhold our pay for lines typed/work produced? I have filed a claim with the Dept of Labor last year for not being paid the equivalent of minimum wage per hour after I started working for them as my paychecks gross pay/hours worked per week did not equal min wage!

Asked on June 30, 2009 under Employment Labor Law, Wisconsin


N. K., Member, Iowa and Illinois Bar / FreeAdvice Contributing Attorney

Answered 13 years ago | Contributor

Sometimes employers state (either written or verbally) that they will not pay for work that is unacceptable to them or their clients. If you have this kind of agreement with them, then it is probably legal for them to withhold pay for "erroneous reports."

Unfortunately, terms like this are common in freelance/independent contractor situations.

IMPORTANT NOTICE: The Answer(s) provided above are for general information only. The attorney providing the answer was not serving as the attorney for the person submitting the question or in any attorney-client relationship with such person. Laws may vary from state to state, and sometimes change. Tiny variations in the facts, or a fact not set forth in a question, often can change a legal outcome or an attorney's conclusion. Although has verified the attorney was admitted to practice law in at least one jurisdiction, he or she may not be authorized to practice law in the jurisdiction referred to in the question, nor is he or she necessarily experienced in the area of the law involved. Unlike the information in the Answer(s) above, upon which you should NOT rely, for personal advice you can rely upon we suggest you retain an attorney to represent you.

Get Legal Help Today

Find the right lawyer for your legal issue.

secured lock Secured with SHA-256 Encryption