Aggressively Advocating For Clients Since 1981

How do employers steal wages from workers?

On Behalf of | Feb 13, 2025 | Employment Law

You work hard for your paycheck, but what if your employer isn’t paying you everything you’ve earned? Wage theft is a widespread problem, costing American workers billions of dollars annually.

When employers fail to pay proper wages, it can devastate workers and their families. You’re counting on your full paycheck to pay rent or buy groceries, only to discover your employer is shortchanging you. The stress and financial hardship can be overwhelming.

Recent estimates suggest employers steal over $15 billion annually from workers’ paychecks through minimum wage violations alone. That’s a staggering amount of money taken from the pockets of hard-working people.

Wage theft takes many forms

Some employers deliberately underpay workers to boost profits. Others may violate wage laws due to ignorance of complex regulations. Regardless of intent, wage theft is illegal. Common types include:

  • Failing to pay minimum wage
  • Refusing to pay overtime
  • Forcing off-the-clock work
  • Denying meal breaks
  • Making illegal paycheck deductions
  • Misclassifying employees as independent contractors
  • Confiscating tips from workers

You may be a victim of wage theft without even realizing it. That’s why it’s crucial to understand your rights under California and federal wage laws.

Who does wage theft impact the most?

Low-wage workers in industries like food service, retail and housekeeping are most vulnerable to wage theft. Women, people of color and immigrants are disproportionately affected.

For workers struggling to make ends meet, losing even a small portion of wages can be devastating. Wage theft pushes many families below the poverty line and forces greater reliance on public assistance programs.

How can I ensure I’m paid what I earned?

Carefully track your hours worked and wages received. Compare your pay stubs against your own records. Research the minimum wage and overtime laws that apply to your job.

If you suspect wage theft, don’t be afraid to speak up. Your employer can’t legally retaliate against you for asserting your rights. Consider talking to coworkers to see if they’ve experienced similar issues. Sometimes, these cases affect groups of employees, which can lead to class action lawsuits.

An experienced wage and hour attorney can review your situation and help you recover stolen earnings. Skilled lawyers understand the complex laws and can guide you through filing a claim. With knowledgeable legal support, you can fight back against wage theft and get the full pay you’ve rightfully earned.