• print
  • decrease text sizeincrease text size
    text

Wage theft is a huge problem that requires a creative solution, this week in the war on workers

Share this post

Interview with Laura Clawson, Daily Kos Contributing Editor | Smart  Bitches, Trashy Books

If a worker steals from their employer, they can be fired or even face criminal charges. If an employer steals their workers’ wages, they … usually get to keep the money with no penalties. Wage theft is outrageously common, and it’s rarely treated as a serious civil violation, let alone a criminal one, despite taking money from people who desperately need it to get by. Minimum wage violations, for instance, are one common form of wage theft, and wage theft doesn’t hit all workers equally. According to the National Employment Law Project, “Black workers experience wage theft at three times the rate of white workers. Foreign-born workers experience wage theft at twice the rate of their U.S.-born counterparts. And women experience wage theft at a rate of 30 percent, compared to 20 percent for male workers.”

In 2017, an Economic Policy Institute analysis found that minimum wage violations stole $8 billion a year from workers—in just the 10 most populous states. In 2019, forced arbitration agreements denying workers the chance to make their case in court let employers steal $40 million from Maine workers, NELP reports.

NELP has an answer: retaliation funds. Retaliation funds should be set up by a labor enforcement agency, and workers could draw on them if, after they filed a wage theft complaint with the labor enforcement agency, their pay was reduced or they were fired. At that point, they’d get a one-time payment, and “If the enforcement agency eventually finds that the employer unlawfully retaliated, the employer should replenish the fund with a payment equal to three times the amount the worker received.” That would protect workers from retaliation, which would reduce their fears about reporting wage theft to begin with, and it would act as a disincentive to employers tempted to steal from their workers. Is there a blue state that will consider trying this out?

This blog originally appeared at Daily Kos on May 22, 2021. Reprinted with permission.

About the author: Laura Clawson has been a Daily Kos contributing editor since December 2006 and a full-time staff since 2011, currently acting as assistant managing editor.


Share this post

Leave a Reply

Your email address will not be published. Required fields are marked *

Subscribe For Updates

Subscribe via RSS Subscribe via RSS

Or, sign up to receive our email newsletter:

* indicates required

Recent Posts

Forbes Best of the Web, Summer 2004
A Forbes "Best of the Web" Blog

Archives

  • Tracking image for JustAnswer widget
  • Find an Employment Lawyer

  • Support Workplace Fairness

 
 

Find an Employment Attorney

The Workplace Fairness Attorney Directory features lawyers from across the United States who primarily represent workers in employment cases. Please note that Workplace Fairness does not operate a lawyer referral service and does not provide legal advice, and that Workplace Fairness is not responsible for any advice that you receive from anyone, attorney or non-attorney, you may contact from this site.