Understanding the nature of unpaid wages

Wages are more than your regular hourly rate or salary. From a legal perspective, wages include all compensation you are owed according to your employment agreement, such as commission, bonuses, and overtime.

For example, your boss might be cheating you out of fair compensation by denying you a higher overtime rate or paying you less than the (https://www.dir.ca.gov/dlse/faq_minimumwage.htm)(as of 2022, that's $15/hour for employers with 26-plus employees and $14/hour for employers with 25 employees or less).

Unpaid wage claims are not always cut and dry. Employment agreements often include ambiguities, which can make it difficult to prove you are owed commission or bonuses, for example. In addition, larger companies are often well-versed in navigating employee disputes and likely have safeguards at the ready should an individual file a claim. In these instances, help from an experienced attorney is your best chance to reclaim the wages you are owed, along with legal penalties plus damages for your time, effort, and emotional distress.

How common are unpaid wages?

Unfortunately, if you have worked without fair and timely pay, your story is not unique. US workers lose billions annually because on unpaid wages. Minimum wage violations alone cost employees $8 billion annually, an average of $3,300 per year for full-time workers. What’s more, 17 percent of low-wage workers experience wage theft, regardless of their demographics. That’s almost one in five employees.

What to do before you contact a lawyer

If you believe your employer has underpaid you or withheld funds you are owed, the first step is raising the issue directly with them. In many cases, unpaid wages are the result of a mistake or oversight and are promptly resolved. So, reach out to your boss before you contact a lawyer. Remember to remain cordial, polite, and professional – anything you say in person or via email or text could later be used as evidence. If you speak over the phone, send a follow-up email detailing what was discussed and any agreed-upon next steps.

If your employer agrees to right their wrong, there is no need to contact a lawyer. However, if they refuse or retaliate against you, get on the phone with a lawyer as soon as possible.

How an employment lawyer can help

Gathering evidence

If you file an unpaid wages claim, the burden of proof is on you, which means you’ll need to put together enough evidence to prove that you were illegally underpaid. Here are some examples of the evidence you and your employment attorney will collect:

• Time records. This includes all records you have kept of the hours and dates that you worked.
• Paychecks. Keep hold of paychecks and paystubs that show how much you were paid during the period you are claiming for. This includes paychecks that bounced because your employer had insufficient funds or the account didn’t exist.
• Employment agreement. Your employment agreement should outline your basic employment information, such as your hourly rate (if applicable), overtime rate, your shift schedule, commission, bonuses, and your regular payment schedule.
• A record of expenses. If you weren’t reimbursed for work-related expenses, your employer owes you. So, keep a record of your expenses, including receipts.
• Communications. The conversations you had with your employer about your unpaid wages are evidence. If you speak on the phone, a follow-up email can be used to prove the conversation took place.

Preparing your case

Your lawyer will then prepare a strategy by applying the law to the facts of your case. They will pre-empt your employer’s defenses and mitigate risk, giving you the best possible chance of being awarded the funds you are owed. They can also help you steer clear of the common pitfalls employees fall into when filing unpaid wages claims on their own.

Maximizing your compensation

An experienced employment lawyer can maximize the compensation you are awarded should your claim be successful. This includes:

• Back wages. Back wages or back pay is the amount of money your employer owes you if your paycheck bounced, your pay rate was below the minimum, you weren’t paid your rightful overtime rate, or your wages were unpaid for some other reason.
• Legal penalties. Caliifornia has strong laws that punish employers who steal their workers’ wages. Often these are in the form of penalties that can add up and mean significant award for you in addition to your stolen pay.
• A higher ongoing wage. If your wage was below the state minimum, you may be awarded a permanent pay raise.
• Bonuses and commission. If included in your employment agreement, bonuses and commissions are wages, which means you are entitled to them in full.
• Pain and suffering. Unpaid wages can have far-reaching consequences. If you experienced emotional pain and suffering or retaliation from your employer, your lawyer might be able to help you secure additional financial compensation.
  

How to find the right lawyer

Your legal counsel can make or break your case, so before you decide on a lawyer, do you research. Look for attorneys that specialize in employment law, which is nuanced and ever-changing.

At Employment Law Group, we have more than three decades of experience serving employees in California. We understand the ins and outs of employment law, and we know exactly how employers try to brush off their responsibility and get away scot-free. Ensuring you are treated justly and paid fairly are our priorities, and we leverage a creative approach to anticipating your employer’s next move.

Schedule your confidential consultation

Your employer has no right taking money out of your pocket. If they haven’t paid you for the work you’ve done, they could be acting against the law. Don’t wait. Get in touch today and let’s dig into your case.

Schedule your confidential consultation today, and let’s work toward a just outcome.