Unfortunately, employers cheat workers out of wages and overtime in many ways using a variety of methods. For many companies, employee compensation is one the largest expenses, creating an incentive to shave hours off workers’ timecards, withhold benefits, and reduce labor costs. Some of the most common forms of wage abuse involve: Minimum wage violations Overtime pay violations Misclassification of workers Unpaid “Off the clock” work Employee payroll debit card fees Improper recordkeeping Tip-sharing and tip-pooling violations Uncompensated meal breaks Unreimbursed mileage and expenses Failure to pay for time spent donning and doffing gear and equipment Click on any of the links above to learn more about frequent examples of wage theft.
How does the Fair Labor Standards Act protect American workers? Although it has seen various amendments since it was enacted in 1938, the Fair Labor Standards Act (FLSA) protects employees in the U.S. by requiring employers to pay the minimum wage, to provide overtime pay for time worked in excess of 40 hours in a workweek, and to maintain employee compensation records. The FLSA also places restrictions on the employment of children. There are many areas that the FLSA does not cover, deferring to specific agreements between employers and employees instead. What is minimum wage? Is it the same rate across the U.S.? The FLSA establishes a federal mandatory minimum wage requirement, currently $7.25, that applies to workers employed by: Companies with annual gross revenues of at least $500,000, as well as smaller companies engaged in interstate commerce or production of goods for interstate commerce Guards, janitors, and maintenance employees in jobs that are closely re...