The average person works very hard to make their living. Depending on your salary and costs, some may even find the need to work overtime frequently. When an employee finds that they’re being paid less than what they deserve, frustration can be an understatement.
The worst thing about unpaid wages is that if an employee isn’t careful or informed, unpaid overtime wages can go on for a while before they take notice. Even if it’s a one-time error, the only way a worker can avoid this from happening is to be aware of the law protections each employee is entitled to and ways to identify when things just aren’t adding up.
8 Common Ways Employers Avoid Wage Pay
Improperly classifying an employee as an ‘Independent Contractor’
An ‘independent contractor’ is an individual who provides goods and services to an individual or organization on a contract basis, rather than earning a set hourly or salary wage. While different states have their own laws governing the types of benefits an employee is entitled to, what separates an employee from an independent contractor is generally similar across the board.
An independent contractor should be free from control by an employer. Meaning, they are considered in a level-playing field when it comes to decision making and work function. While an independent contractor may be relying on a wage for an employer, they should still work independently in order to be classified as an independent contractor.
Here are some other important factors to consider when determining an employee or independent contractor status:
- Is the work performed fundamental to an employer’s business?
- Is a worker’s job classified as contract but is consistent and reoccurring?
- Does the individual classified as an independent contractor exercise their own skills and judgement when performing a job?
- Does a worker make an investment and undertake the risk of loss?
Employers asking to clock out and continue working
Some employers will ask their workers to clock out but complete the loose ends of a project either at home or in their establishment. Even if it’s for an hour or less, this can add up over time.
Having to attend unpaid training
Under federal law, all training an employee undergoes in order to fulfill their responsibilities should be compensated for. This is also the case if an employer asks you to complete training before hire or being included on payroll.
Employer requests for an employee to come early without pay
If an employer asks for a worker to come in a bit earlier to open up or complete job tasks before clocking or logging in their time, they should be getting paid for those extra hours. Doing so may earn you brownie points from time to time, but by law those hours should be accounted and paid for fairly.
Forcing an employee to work through lunch or without breaks
This can happen through your employer asking you to continue working through a fixed lunch time or even as an unspoken work norm and an employer turning a blind eye.
Require employees to be available ‘on call’
Being ‘on call’ can take the leisure right out of your hard-earned free time. If an employer requests you remain on call and ready to work at a moments notice, they may be required to compensate you for your free time.
Making employees volunteer
Many employers participate in philanthropic efforts in their communities, which is great. However, when these activities are mandated by your employer to attend, this could be classified as additional work time.
Requiring workers to complete duties without pay
Probably one of the most common wage and hour disputes come down to unpaid overtime wages. This can come in the form of an employer making you complete a project at home, after-office hours, asking you to come in the office on the weekend, and more.