Wage Theft Significant Problem, Minneapolis City Council to Address

Wage theft is the illegal practice of employers not paying workers for their labor, or their work. Wage theft includes failing to pay minimum wage, failing to pay overtime, failing to pay workers the wage that was promised, forcing workers to work ‘off the clock,’ and many other illegal practices.

Wage theft is a major problem in the United States, and in Minnesota in particular. In fact, the Minneapolis City Council has recently announced its intent to address the widespread problem of wage theft, according to media coverage.

It is encouraging to see the Minneapolis City Council’s interest in addressing this widespread and growing problem. But it is important for workers to know that federal and state laws, including the Fair Labor Standards Act (FLSA), and Minnesota Fair Labor Standards Act both provide legal recourse for some of the problems of wage theft. In fact, Teske Katz Kitzer & Rochel, in collaboration with Nichols Kaster, recently helped expand the potential theories of recovery available to workers who are not paid at the rate that they were promised, in Shoots v. iQor Holdings, Inc.

One of the problems allowing for wage theft are workers not being fully aware of all of their rights under existing laws, as well as new laws that may be passed, such as Minneapolis’s goal of city council action. If you have questions about wage theft, or are concerned that you and/or your coworkers are not being paid for work, or are not being paid fairly, contact Teske Katz Kitzer & Rochel today.