Ensuring Employees Receive the Wages They Are Owed
Illinois law requires employers to pay employees all earned wages in a timely manner. When employers fail to meet these obligations, employees have the right to take legal action to recover what they are owed. The Illinois Wage Payment and Collection Act (IWPCA), 820 ILCS 115/1, governs the payment of wages and provides employees with important protections and remedies.
At Griffin Williams McMahon & Walsh LLP, we represent both employees seeking to recover unpaid wages and employers who need guidance on wage payment compliance.
Common Wage Payment Violations
Wage disputes can arise in a variety of circumstances. Our attorneys handle matters involving:
- Failure to pay earned wages, salaries, or hourly pay
- Unpaid overtime (time-and-a-half for hours worked over 40 in a workweek)
- Failure to pay final compensation upon separation from employment
- Unpaid commissions, bonuses, and earned vacation time
- Unauthorized or improper deductions from paychecks
- Failure to pay minimum wage
- Misclassification of employees as independent contractors to avoid wage obligations
- Failure to reimburse necessary business expenses
Illinois Wage Payment and Collection Act
The IWPCA establishes key requirements that employers must follow, including:
- Paying employees at least semi-monthly
- Providing final compensation (including earned vacation, bonuses, and commissions) on the next regularly scheduled payday after separation
- Obtaining proper written authorization before making any deductions from wages
- Reimbursing employees for necessary expenditures incurred in the course of employment
Penalties for Wage Violations
Illinois law imposes significant penalties on employers who fail to pay wages as required. Employers found in violation of the IWPCA may be liable for:
- The full amount of unpaid wages
- Statutory damages of 5% of the underpayment for each month wages remain unpaid
- Attorney's fees and court costs
- Administrative fees payable to the Illinois Department of Labor
In addition, willful failure to pay wages can result in criminal penalties, including misdemeanor or felony charges depending on the amount owed and the number of violations.
Federal Wage Protections
In addition to Illinois law, federal statutes provide additional wage protections, including:
- The Fair Labor Standards Act (FLSA), which establishes minimum wage, overtime pay, and recordkeeping requirements
- The Equal Pay Act, which requires equal pay for equal work regardless of sex
- The Davis-Bacon Act and related prevailing wage laws for government contract work
How to Pursue a Wage Claim
Employees who have not been properly paid have two primary options for pursuing their claims:
- Filing a claim with the Illinois Department of Labor (IDOL), which must be done within one year of the date wages were due
- Filing a private lawsuit in civil court, which must be brought within three years under the IWPCA
It is important to note that employers are prohibited from retaliating against employees who exercise their rights under wage and hour laws. For more information regarding our expertise in wage payment matters, please contact us.