Read

Error message

Notice: Undefined index: base_url in include_once() (line 125 of /home3/occupyco/public_html/dev/sites/default/settings.php).

User menu

Search form

'Shady Bosses' Stealing $15 Billion in Wages from Low-Income Workers: Report

'Shady Bosses' Stealing $15 Billion in Wages from Low-Income Workers: Report
Tue, 2/20/2018 - by Jake Johnson
This article originally appeared on Common Dreams

With American workers already struggling against stagnant wages, declining union strength, and vicious attacks by the Trump administration, a new investigation by Politico published Sunday found that low-wage employees in the United States are also contending with wage theft on a massive scale—a crisis that many states lack the resources or political will to address.

According to Politico's Marianne Levine, who examined state minimum wage enforcement protocols over a period of nine months, "workers are so lightly protected that six states have no investigators to handle minimum-wage violations, while 26 additional states have fewer than 10 investigators."

"Given the widespread nature of wage theft and the dearth of resources to combat it, most cases go unreported," Levine adds. "Thus, an estimated $15 billion in desperately needed income for workers with lowest wages goes instead into the pockets of shady bosses."

Levine acknowledges that some workers ultimately have success challenging the criminal behavior of their employers in court. But even these workers are frequently denied the wages they earned.

After surveying 15 states, Levine found that "41 percent of the wages that employers are ordered to pay back to their workers aren't recovered."

In an interview with Politico, Michael Hollander, staff attorney at Community Legal Services of Philadelphia, argued that the violations uncovered by Levine's investigation come as no surprise to labor advocates or low-wage workers themselves.

"Wage theft is the rule, not the exception, for low-wage workers," Hollander said.

Given that many low-wage American workers can barely afford rent, any amount of money taken from a worker's paycheck can have devastating consequences.

"Advocates for lowest-wage workers describe families facing eviction and experiencing hunger for lack of money that's owed them," Levine writes. "And, nationally, the failure to enforce wage laws exacerbates a level of income inequality that, by many measures, is higher than it's been for the past century."

Levine's "sobering" findings come as overall wage growth in the U.S. remains sluggish, even in the face of soaring corporate profits and CEO pay.

While a growing number of Democrats have signaled support for raising the federal minimum wage to $15 an hour in recent months, the failure of states to ensure that companies adhere to the current $7.25 minimum is an issue labor advocates and lawmakers say must be addressed if nationwide wage hikes are to be effective.

If wage theft isn't combated, "then any efforts to raise the minimum wage, strengthen overtime, or protect workers' tips are ineffectual," argued Rep. Bobby Scott (D-Va.).

"Wages are far too low to begin with, so when money is stolen right out of workers' paychecks, we have to have effective tools in place to get that money back," Sen. Sherrod Brown (D-Ohio) added in an interview with Politico. "But wage theft is just one part of the problem that hard work simply doesn't pay off the way it should. And that's true for all workers—whether they punch a time clock, swipe a badge, make a salary or earns tips—they're working too hard for too little.

Originally published by Common Dreams

3 WAYS TO SHOW YOUR SUPPORT

ONE-TIME DONATION

Just use the simple form below to make a single direct donation.

DONATE NOW

MONTHLY DONATION

Be a sustaining sponsor. Give a reacurring monthly donation at any level.

GET SOME MERCH!

Now you can wear your support too! From T-Shirts to tote bags.

SHOP TODAY

Sign Up

Article Tabs

prison reform, incarceration rates, private prisons, for-profit prisons, white supremacy, enslavement, climate justice, racial justice, Green New Deal

The year 2020 has caused many white people to realize we live in a racist system. The Green New Deal is about systemic change for all, and deconstructing racism must be front and central in this agenda.

coronavirus pandemic, Donald Trump, Boris Johnson, Jair Bolsonaro, COVID-19 deaths, downplaying coronavirus

By infecting three of the world’s most right-wing leaders, the coronavirus underscored not only the incompetence and irresponsibility of their governments – but the truth that their brand of populism doesn't keep people safe.

COVID-19, corporate bailouts, corporate welfare, corporate destruction

Corporations are not "too big to fail" and, when they commit crimes, they are not "too big to jail." As David Whyte writes in his new book, "Ecocide: Kill the Corporation Before It Kills Us," the moment is now to rein in out-of-control corporate power.

The world has lost an incredible thinker and doer. I have lost an amazing friend. A void exists where before it was filled with David's optimism, humour and joy.

Kevin Zeese speaks at a rally for Chelsea Manning. By Ellen Davidson.

Kevin fought to bring truth every day. We must not lose this struggle.

prison reform, incarceration rates, private prisons, for-profit prisons, white supremacy, enslavement, climate justice, racial justice, Green New Deal

The year 2020 has caused many white people to realize we live in a racist system. The Green New Deal is about systemic change for all, and deconstructing racism must be front and central in this agenda.

coronavirus pandemic, Donald Trump, Boris Johnson, Jair Bolsonaro, COVID-19 deaths, downplaying coronavirus

By infecting three of the world’s most right-wing leaders, the coronavirus underscored not only the incompetence and irresponsibility of their governments – but the truth that their brand of populism doesn't keep people safe.

COVID-19, corporate bailouts, corporate welfare, corporate destruction

Corporations are not "too big to fail" and, when they commit crimes, they are not "too big to jail." As David Whyte writes in his new book, "Ecocide: Kill the Corporation Before It Kills Us," the moment is now to rein in out-of-control corporate power.

The world has lost an incredible thinker and doer. I have lost an amazing friend. A void exists where before it was filled with David's optimism, humour and joy.

Kevin Zeese speaks at a rally for Chelsea Manning. By Ellen Davidson.

Kevin fought to bring truth every day. We must not lose this struggle.