What if my employer doesn’t pay me?

Employers are required to pay at least the federal minimum wage to employees. When an employee performs work, a company must provide paychecks to employees for the full amount of money owed, including both regular payday and for overtime hours worked in excess of 40 hours per week. Commissions, bonuses, and all other amounts due must also be paid within a reasonable period of time. When a company fails to give paychecks as required an employee can file a civil lawsuit or seek help for payments from the government agency responsible for enforcing the rights of workers.

If you are asking, “what do I do when my employer won’t pay me,” we’ll go over what your options could be.

What are employer requirements for payment of wages?

Wage and hour and worker protection payday laws are set on a state-by-state basis. This means there may be some variation associated with the regulations depending on where an employee lives. In general, however, employers are expected to pay all that they promised. They must do so within a time frame designated by the state paycheck law, depending upon the circumstances and they must not withhold any money from wages except in very limited circumstances.

In the state of California, for instance, Labor Code 200 makes clear that wages refer to all amounts earned for labor performed, regardless of whether the amount due is fixed or determined per piece or on a commission basis. Subsequent sections of the Labor Code mandate that an employee must receive unpaid wages owed at the time of discharge (section 201), be paid within 72 hours of giving notice or quitting (section 202), and other pay-related issues.

These labor code provisions, as well as similar ones in other states, essentially establish a rule that employees must always be paid what they are owed. If a company fails to pay wages due, there are a number of options available to employees. One option is to take legal action and file a civil lawsuit for nonpayment of wages. Another option is to seek help from the state’s employment agency.

Can you make wage claims for unpaid wages?

There are a variety of different state employment agencies that provide help to workers. For example, an individual in California who has not been paid wages due to him may file a claim for unpaid wages with the Division of Labor Standards Enforcement. The forms for filing a wage claim can be found on the Department’s website. Other states have similar state agencies and options for filing a claim for unpaid wages.

Once the claim has been filed with the appropriate state agency, there is typically a procedure in place for investigating the claim and collecting wages for the employee. In California, for instance, once a claim has been filed, the employee will be notified within 30 days as to what action will be taken. There are three different responses to a claim for nonpayment of wages. A deputy labor commissioner assigned to the case can refer the dispute to a conference, refer the dispute to a hearing, or dismiss the claim.

In many cases, the dispute will be resolved between employer and employee before the scheduled conference or hearing. However, if this is not the case, then a notice will typically be sent to all involved parties letting them know when to attend a conference. At the conference, each party should bring evidence to support his position on the wage dispute. After the conference, if the issue is not resolved, then either a hearing will be scheduled or the claim dismissed.

The next step in the process – the hearing – is a formal legal proceeding at which each party presents evidence. Typically, all parties should be represented by an attorney at this hearing. A decision will be reached shortly after the hearing, and the employer and employee will be bound by the decision unless it is appealed to the federal appellate court. This means if an employee successfully proves he is owed wages, the employer will need to pay as directed by the government agency representing the worker or will need to appeal to federal court. Although this procedure can differ from state to state, this is the general process if claims are pursued through the state agency providing support to employers.

How can you bring a civil lawsuit against an employer?

A civil lawsuit, the other option available to employees, may be filed in the appropriate state court where the employer is located or where the employment relationship was based. In most states, if the employee prevails in proving nonpayment of wages in court, he or she is entitled both to back pay (payment of all unpaid wages, commissions, etc) as well as to payment of attorney’s costs and fees. The judge or jury assigned to the case may also have the discretion to award the employee up to three times the amount of actual wages due.

It is important to note, however, that a wage claim and a civil lawsuit for unpaid wages are options only for individuals who are classified as employees under the law. Independent contractors who are not paid the money due to them will typically need to pursue a breach of contract claim as opposed to a wage and hour claim.

Case Studies: Dealing With Unpaid Wages

Case Study 1: Mary’s Battle for Unpaid Wages

Mary, a resident of California, worked diligently for a company but found herself facing financial hardship when her employer failed to pay her wages as required by law. Frustrated and unsure of her options, Mary decided to take legal action. She filed a civil lawsuit against her employer, alleging nonpayment of wages.

With the assistance of an experienced employment attorney, Mary pursued her case in the appropriate state court. Through the legal process, Mary sought back pay, including unpaid wages, commissions, and other amounts owed. The court also awarded her attorney’s costs and fees. This case highlights the importance of employees knowing their rights and taking action when employers fail to fulfill their payment obligations.

Case Study 2: John’s Journey Through the Wage Claim Process

John, a worker in Texas, faced a similar situation when his employer neglected to pay him for overtime hours worked. Unsure of his next steps, John decided to file a wage claim with the state’s employment agency responsible for enforcing labor laws.

He completed the necessary forms and submitted his claim, initiating the investigation process. The agency reviewed the claim and scheduled a conference where both John and his employer presented their evidence. Despite the initial conference, the dispute was not resolved, and a formal hearing was scheduled. John, accompanied by legal representation, presented his case, seeking the unpaid wages he rightfully deserved.

After the hearing, a decision was reached, and John’s employer was legally bound to pay the determined amount. This case demonstrates the process of pursuing a wage claim through the state agency and emphasizes the significance of gathering evidence to support the employee’s position.

Case Study 3: Sarah’s Pursuit of Justice Through a Civil Lawsuit

Sarah, an independent contractor in New York, faced a difficult situation when her client failed to compensate her for the services rendered. Since she did not qualify as an employee under the law, Sarah had to pursue a breach of contract claim instead of a wage and hour claim.

She engaged the services of an attorney specializing in contract law and filed a civil lawsuit against her client. Throughout the legal proceedings, Sarah sought the payment owed to her based on the terms of their agreement. The court considered the evidence presented by both parties and, if Sarah prevailed, had the discretion to award her up to three times the actual amount of wages due.

This case illustrates the importance of understanding the legal distinctions between employees and independent contractors and the appropriate legal recourse available in each situation.