Wage theft occurs when employers fail to pay employees the full amount they have earned. California state laws provide strong protections for workers, but some employers still attempt to commit wage theft.
Recognizing the signs of wage theft can help you protect your rights and hold malicious employers accountable.
Unpaid overtime
One of the most common signs of wage theft is unpaid overtime. In California, employees must receive overtime pay if they work more than eight hours in a day or 40 hours in a week. If an employer does not pay time and a half for overtime hours or avoids paying overtime by misclassifying employees, this could be an example of wage theft.
Ignoring minimum wage
Another form of wage theft involves unpaid or underpaid minimum wage. California has one of the highest minimum wages in the country, and employers must comply with state laws. If an employer pays less than the legal minimum wage, this is a clear violation of California wage laws.
Withholding checks
Late or withheld paychecks are another red flag. California law requires employers to pay employees at least twice a month. Final paychecks are also due on the last day of work for those who quit and any employees the company chooses to terminate. If employers delay payments or withhold paychecks, it could be a sign that they are attempting to steal wages.
Misclassifying workers
An employer who is trying to steal wages might do so by classifying employees as independent contractors. Independent contractors do not receive the same protections as employees, and misclassification allows employers to avoid paying overtime, minimum wage or providing meal and rest breaks.
If you suspect wage theft, you can take action by documenting the violations and filing a claim with the California Labor Commissioner. Wage theft is highly illegal, and California law provides you with options to recover your rightful wages.