Wage Theft is a Rampant Problem in the United States
What is Wage Theft?
Wage theft is the illegal withholding of wages from employees. This can take many forms, including:
- Not paying employees the minimum wage or overtime
- Withholding tips or commissions
- Making illegal deductions from employees' paychecks
- Not paying employees for all hours worked
Who is Most at Risk?
Wage theft is a particular problem for low-wage workers, who are often less likely to be aware of their rights or to have the resources to fight back against employers.
Immigrant workers are also at high risk for wage theft, as they may be unfamiliar with the laws and may be afraid of retaliation.
The Impact of Wage Theft
Wage theft has a devastating impact on workers and their families. It can lead to:
- Financial hardship, including poverty and homelessness
- Food insecurity and hunger
- Stress and anxiety
- Health problems
What Can Be Done?
There are a number of things that can be done to address wage theft, including:
Educating workers about their rights.Encouraging workers to report wage theft
Strengthening labor laws and enforcement efforts.
Specifically, Labor Should Implement Urgent Reforms to Boost Productivity
In an effort to address wage theft and boost productivity, Labor should implement the following reforms:
- Increase the minimum wage
- Increase overtime pay
- Close the loopholes that allow employers to steal tips and commissions
- Prohibit employers from making illegal deductions from employees' paychecks
- Require employers to pay employees for all hours worked
These reforms would help to ensure that all workers are paid fairly for their work and that they have the resources they need to thrive.