When your employer doesn’t pay you what you’ve earned, it’s not just unfair—it’s illegal. Wage theft affects millions of workers annually, from unpaid overtime to minimum wage violations. The law provides powerful remedies, including the possibility of recovering double your unpaid wages plus attorney fees.
Quick Answer
Yes, you can sue your employer for unpaid wages. Under the Fair Labor Standards Act (FLSA) and state wage laws, you can recover back pay and potentially double your unpaid wages as liquidated damages. You can file a complaint with the Department of Labor or pursue a private lawsuit. Many wage claims also allow you to recover attorney fees, making it financially feasible to pursue even smaller claims.
What Is Wage Theft?
Wage theft occurs when employers don’t pay workers what the law requires. Common forms include:
| Type of Violation | Examples |
|---|---|
| Minimum wage violations | Paying less than federal ($7.25) or state minimum wage |
| Overtime violations | Not paying time-and-a-half for hours over 40/week |
| Off-the-clock work | Requiring work before clocking in or after clocking out |
| Unpaid breaks | Working through required meal periods without pay |
| Tip theft | Illegal tip pooling, management taking tips |
| Misclassification | Calling employees “independent contractors” to avoid overtime |
| Illegal deductions | Deducting for uniforms, shortages, or breakage below minimum wage |
| Final paycheck violations | Not paying wages owed upon termination |
Your Options for Recovering Wages
Option 1: File a Complaint with the Department of Labor
The Wage and Hour Division (WHD) investigates wage violations at no cost to you:
- File a complaint online, by mail, or in person
- WHD investigates and can order back pay
- No need to hire an attorney
- Identity can be kept confidential during investigation
Option 2: File with Your State Labor Agency
Many states have their own wage enforcement agencies with stronger protections:
- Some states have higher minimum wages
- Some allow additional penalties
- May be faster than federal process
Option 3: File a Private Lawsuit
Sue your employer directly in court:
- More control over your case
- Potential for larger recovery
- Can pursue class action if many workers affected
- Attorney fees recoverable if you win
What Can You Recover?
Under Federal Law (FLSA)
- Back pay: All unpaid wages owed
- Liquidated damages: An equal amount (double your unpaid wages)
- Attorney fees: Employer pays your legal costs if you win
- Court costs: Filing fees and expenses
Under State Laws
Many states provide additional remedies:
- Triple damages in some states
- Waiting time penalties for late final paychecks
- Interest on unpaid wages
- Civil penalties per violation
Example Calculation
If your employer owes you $5,000 in unpaid overtime:
- Back pay: $5,000
- Liquidated damages: $5,000 (equal amount)
- Attorney fees: Paid by employer
- Total recovery: $10,000+
Common Wage Violations by Industry
Restaurants & Hospitality
- Tip pooling with managers
- Sub-minimum wage violations
- Unpaid prep time and side work
- Working through unpaid breaks
Retail
- Off-the-clock bag checks
- Working through breaks during busy periods
- Unpaid closing duties after clocking out
Healthcare
- Auto-deducted meal breaks that weren’t actually taken
- Unpaid charting time
- Working through required rest periods
Construction
- Prevailing wage violations on public projects
- Misclassification as independent contractors
- Unpaid travel time between job sites
Office Workers
- Misclassification as “exempt” from overtime
- Working through lunch at desk
- After-hours emails and calls
Who Is Protected?
Most workers are covered by federal and state wage laws, including:
- Full-time and part-time employees
- Temporary workers
- Undocumented workers (yes, you have wage rights)
- Workers paid by commission or piece rate
Some Exemptions Exist
Certain workers may be exempt from overtime (but not minimum wage):
- Executive, administrative, and professional employees (with salary threshold)
- Outside sales employees
- Some computer professionals
- Certain agricultural workers
Important: Just because your employer calls you “exempt” doesn’t make it true. Many workers are misclassified.
Statute of Limitations
Time limits for wage claims:
| Claim Type | Time Limit |
|---|---|
| Federal FLSA claims | 2 years (3 years if willful violation) |
| State claims | Varies—often 2-4 years |
| DOL complaint | Generally 2 years of back wages |
The clock typically runs from each pay period, so older wages may time out while recent ones remain recoverable.
Protection Against Retaliation
Many workers hesitate to file claims fearing retaliation. But it’s illegal for employers to retaliate against workers who:
- File wage complaints
- Testify in wage investigations
- Discuss wages with coworkers
- Report wage violations internally
If your employer retaliates, you may have an additional claim for wrongful termination or retaliation damages.
Steps to Protect Your Claim
- Document your hours: Keep your own records of time worked, separate from employer’s system
- Save pay stubs: Keep all records of wages received
- Note unpaid work: Write down specific instances with dates and times
- Keep communications: Emails, texts, or policies showing work expectations
- Identify witnesses: Coworkers who know about the violations
- Request records: You have the right to copies of your time and pay records
Class Action Wage Claims
If your employer’s practices affect many workers, a class or collective action may be possible:
Benefits of Class Actions
- Strength in numbers
- Shared legal costs
- Greater pressure on employer to settle
- Helps workers who might not pursue individual claims
How They Work
- One or more workers file on behalf of all affected employees
- Others can “opt in” to the lawsuit
- Settlement or verdict divided among participants
Frequently Asked Questions
Can I sue if I’m still employed?
Yes. You don’t have to quit or be fired to pursue a wage claim. And retaliation for filing a claim is illegal—if it happens, you have additional legal remedies.
What if my employer pays cash under the table?
You still have wage rights. Cash payments don’t exempt employers from wage laws. Document your work hours and any payments received.
Can undocumented workers sue for unpaid wages?
Yes. Immigration status doesn’t affect your right to be paid for work performed. Employers cannot use immigration status as a defense to wage claims.
What if my employer goes out of business?
You may still have claims against business owners personally in some circumstances, or through bankruptcy proceedings. An attorney can assess available options.
Is it worth suing for a small amount?
Potentially. Liquidated damages can double your recovery. Attorney fees are paid by the employer if you win. Small claims court may be an option for smaller amounts. And if others are affected, a class action increases the value.
When to Contact a Lawyer
Consider consulting an employment attorney if:
- You’re owed significant unpaid wages or overtime
- Many coworkers are affected by the same practices
- Your employer is misclassifying workers as exempt or as independent contractors
- You’ve been retaliated against for raising wage concerns
- You want to understand your state’s specific protections
- The Department of Labor investigation isn’t progressing
Many employment attorneys offer free consultations and take wage cases on contingency. Because attorney fees are recoverable under wage laws, even smaller cases may be economically viable.
