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Understanding Improper Pay Check Deductions

Anyone with a job and a normal paycheck likely understands that taxes, health care provisions and other deductions are frequently taken out of a paycheck in the normal course of business. The Fair Labor Standards Act has rules — and exceptions — for when an employer may lawfully deduct other costs from an employee’s paycheck. The rules are complex, and many businesses violate FLSA rules and Illinois state wage and hour laws when docking pay or seeking reimbursement for work-related expenses. Paycheck deductions can quickly add up to violate wage and hour laws.

Workers are entitled to receive the full and fair amount of money they have earned. Employers frequently make so-called “business decisions” to seek reimbursement for costs from employees. Billhorn Law Firm in Chicago has substantial experience holding employers accountable for improper pay check deductions and other forms of wage theft. Since 1987, we have aggressively fought for working class individuals.

Get The Full Minimum Wage And Overtime Pay You Have Earned

In general, an employer may only deduct money from an hourly worker’s paycheck if the deduction is authorized by law, or voluntarily agreed to by the employee in writing at the time the deduction is made. However, an employer may not legally deduct pay from the worker’s paycheck for work-related expenses if the deduction reduces the employee’s income to below the minimum wage. Similarly, employer-based deductions cannot come from a worker’s overtime pay.

Can An Employer Dock Your Salary?

The FLSA places restrictions on when an employer can lawfully dock the pay of an exempt employee who earns a salary. The limited set of circumstances that may justify docking pay under the FLSA includes:

  • Absence from work due to personal reasons, illness or FMLA leave
  • As an offset for the income the employee receives for witness fees, jury duty or military pay
  • As a penalty for serious workplace safety violations or related to a suspension for violations of workplace rules of conduct

In addition during the first and last week of employment, an employer may pay less than the full salary only if the worker has not worked the full week.

Get A Free Consultation With An Aggressive Trial Lawyer In Chicago

Call 888-408-0401 or 888-408-0401 to discuss your paycheck deduction grievances with an accomplished wage and hour litigation attorney in Chicago. You may also request a meeting using our short contact form. The initial consultation is free. Traductor/intérprete disponible.