LOWER WAGE WORKERS AT HIGHER RISK OF HAVING WAGES STOLEN

IS IT SHOCKING THAT CORPORATE AMERICA IS CAUGHT STEALING?

Maybe not. However, it is quite shocking that Corporate America is stealing from the employees that help them generate billions in revenue every year. Wage theft—-when employers fail to pay employees all legally entitled wages—-impacts all employees, across all workplaces, in all states…However, as one might expect, wage theft impacts young workers, women, people of color, and immigrant workers most of all. The majority of workers with reported wages below the minimum wage are over 25 and are native-born U.S. citizens, nearly half are white, more than a quarter have children, and just over half work full time.

“Wage theft is the rule, not the exception, for low-wage workers,” said Michael Hollander, a staff attorney at Community Legal Services of Philadelphia. “Low-income workers are already in this fragile balance,” said Victor Narro of the UCLA Labor Center. “One paycheck of not being able to get the wages they’re owed can cause them to lose everything.”

Wage theft is a MASSIVE PROBLEM In the 10 most populated states in the union:

  • Workers in all demographic categories being cheated out of pay
  • 17 percent of all low-wage workers are victims of wage theft
  • Wage theft, like minimum wage violations, affects at least 2.4 million workers
  • Those workers lose $8 billion annually to wage theft, involving a variety of wage and hour violations
  • On average wage theft costs those workers an average of $3,300 per year in wage violations

EMPLOYERS STEAL BILLIONS FROM WORKERS’ PAYCHECKS EACH YEAR! BILLIONS!

According to Good Jobs First, some of the most penalized corporations include:

  • Walmart – $1.4 billion in total wage theft settlements
  • FedEx – $502 million in total wage theft settlements
  • Bank of America – $381 million in total wage theft settlements
  • Wells Fargo – $205 million in total wage theft settlements
  • JPMorgan Chase – $160 million in total wage theft settlements
  • State Farm Insurance – $140 million in total wage theft settlements

IT’S NOT ALWAYS THE HUGE COMPANIES

Recently, Brooklyn District Attorney and the New York City Department of Investigation, announced a Brooklyn construction company pleaded guilty to second-degree grand larceny for underpaying and committing wage theft against 21 employees. Let’s walk through the elements of this specific case:

According to the New York Daily News, the Brooklyn District Attorney stated that the affected workers were all immigrants,

According to the filing, the Brooklyn construction company falsely certified that it paid these workers at prevailing wage rates ($62 to $63 per hour).

In reality, the Brooklyn construction company only paid between $10 and $17 per hour and no overtime or benefits

At the end of the day, the Brooklyn construction company ended up owing the workers more than $230,000 in restitution.

DO YOU SUSPECT YOU ARE THE VICTIM OF WAGE THEFT?

Learn more about your employee rights. Lawyers for Employee and Consumer Rights (LFECR) is a leading California employment law firm. With 40+ remote attorneys, LFECR is able to work on behalf of clients anywhere in California. Fired unfairly? Your free consult awaits!

Call 888-625-0959.

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