Many people today are working more than one job to meet their needs. Any kind of change to their income can create financial strain. People may need to be aware that their income can change without them knowing. Wage theft is a common occurrence employees face.
Wage theft occurs when an employee is not paid entirely for their work. Wage theft is not always obvious. Employees may need to learn about a few common ways wage theft occurs. Here is what you should know:
1. Unpaid overtime
When an employee works more than their regular hours, they may be entitled to overtime pay. In Illinois, overtime pay equals one and one-half of an employee’s regular wages for every hour worked past 40 hours in a workweek. In other words, an employee who earns $20 per hour can earn $30 after 40 hours of work. However, employers often illegally avoid paying overtime in a number of ways. For example, an employer may try to avoid paying overtime by having an employee work off-the-clock.
2. Worker misclassification
Employers may try to misclassify their employees as independent contractors to avoid paying minimum wage or overtime. This also robs misclassified employees of additional income and benefits, such as vacation time, sick leave, potential insurance benefits and entitlement to workers’ compensation after a workplace injury.
3. Minimum wage violations
Minimum wage is the lowest dollar amount an employer can pay their employees. If an employee is paid less than minimum wage, it may be considered wage theft. In Illinois, that’s $15.00 per hour for non-tipped employees, $9.00 per hour for employees who are tipped (so long as the employee makes at least $15 per hour) and $13.00 per hour for some minors (dependent on how many hours they work per year). However, there are local exceptions that must be observed. For example, Chicago mandates a minimum wage of $17.05 per hour and $12.96 per hour for tipped employees.
Professional legal guidance can help victims of wage theft recover their lost wages.
