Why are employers not required to pay earned wages?

Often, employees do nothing about it because they believe they cannot afford to hire an attorney, or they fear their former employer will provide a bad reference if they sue or threaten to sue them. As will be discussed below, those assumptions are not necessarily true.

Do you have to pay employees if you are an employer?

But paying employees is one of your top legal obligations as an employer. If you have employees, you must pay them. Keep reading to learn more about the state and federal laws relating to paying employees. Here are a few things you might not know about paying employees that can cause issues with federal and state employment agencies.

Do you get paid if you earn money?

We update our site regularly, and all content is reviewed by experts. If you have earned the money, then it’s yours: your employer must pay you. Examples of money which you’ve earned would be salary or wages for weeks worked, commissions for sales made, or tips which were made but not yet distributed.

What to do if you are not getting paid by your employer?

Try speaking informally to your employer if you’re having problems with your pay. You could also try speaking to your human resources or payroll department, if there is one. Ask them to explain anything you don’t understand on your payslip or why you haven’t been paid.

What happens if an employer does not pay an employee?

An employee may file suit to recover back wages (but employees of state governments can’t file suits against state employers). Civil monetary penalties may be assessed against an employer for repeat and/or willful violations of FLSA requirements.

When does an employer have to pay unpaid wages?

Priority exists for unpaid wages owed to employees in an amount up to $4,000 in unpaid wages earned within 90 days before the bankruptcy filing. Wages include salary, commissions, vacation pay, severance pay and sick leave.