Get Answers To Your Most Frequently Asked Employment Law and Unpaid Wage Questions
At Gibbons Legal Group, we focus on employment law. To help you understand this complex area of law, we've compiled some of the questions we hear the most in our Indianapolis law firm. Please feel free to give us a call if you have any more questions that have not been answered on this page.
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What is the minimum cash wage if I am a tipped employee?
Section 3(m) of the FLSA permits an employer to take a tip credit towards its minimum wage obligation for tipped employees equal to the difference between the required cash wage (which must be at least $2.13 per hour under federal law) and the federal minimum wage. Some states have laws that require employers to pay more than the federal minimum cash wage of $2.13 per hour. For example, the minimum cash wage for tipped employees in Illinois is $4.95. The minimum cash wage in Michigan is $2.65. The minimum wage in Ohio is $3.85. The minimum wage in Indiana and Kentucky is $7.25.
What is the law that governs minimum wage cases?
The Fair Labor Standards Act or FLSA is the federal law the governs the payment of minimum wage.
What is the minimum wage?
The current federal minimum wage is $7.25 per hour. Even if you are not paid on an “hourly” basis, you should receive at least the minimum wage for every hour that you work. Divide your weekly compensation for a given week by the number of hours you actually worked that week, and you should be earning at least $7.25 per hour. Some states have laws that require employers to pay more than the federal minimum wage. For example, the minimum wage in Illinois is $8.25. The minimum wage in Michigan is $7.40. The minimum wage in Ohio is $7.85. The minimum cash wage in Indiana and Kentucky is $2.13.
What is wage theft?
“Wage theft” is one of those phrases a lot of people have heard, but aren't sure if it applies to them. What does it mean? How can you be a victim of wage theft if you're getting a paycheck every week?
Wage theft can come in many forms, but overall, it is when employers unlawfully keep wages from the employees that deserve them. Among the business practices that can constitute wage theft are:
Minimum Wage Violations. The federal minimum wage provisions are contained in the Fair Labor Standards Act (FLSA) and are currently $7.25 an hour. The state of Indiana's minimum wage is also $7.25 per hour, so there shouldn't be any confusion with which one applies. If you are not making at least $7.25 an hour, you may be the victim of wage theft.
Denial of Overtime Pay. Unless you're classified as exempt by the FLSA, you should be entitled to overtime pay after you've worked over 40 hours in a week.
Misclassification As an Independent Contractor. Independent contractors do not receive many of the benefits that employees of a company receive, including overtime pay and various protections. Many businesses illegally classify employees as contractors in order to skimp on wages and benefits.
Not Receiving Pay. Some employers will blatantly just not pay someone who has done work. This could mean they did not pay for all the hours you worked, didn't pay your last paycheck when you left, or didn't pay extra when you worked through lunch or through a scheduled break.
The bottom line is that if you did work and you were not paid for it properly, you are a victim of wage theft. You may love your job, but that doesn't mean you're willing to work for free—and you shouldn't work for free. If you think you may be the victim of unpaid wages in Indiana, contact the The Law Office of Robert J. Hunt, LLC for a free consultation.