Texas Workforce Commission Collected $4.7 Million in Unpaid Wages

It takes months for Texas Workforce Commission to complete an investigation of a wage claim.  See San Antonio Express News story.  TWC enforces the Texas Payday Statute and other laws.  They also investigate wage claims.  They receive 14,000 claims each year by workers who were not paid. But, as I have explained to many potential clients, do not expect much from TWC.  

Even if they conduct an actual investigation, they typically do nothing more than send a letter to the employer finding that the employer owes a certain amount of unpaid wages.  But, TWC does some good for workers.  In 2009, they found 5,977 claims to be valid and collected $4.7 million in unpaid wages.  See TWC's summary of the Texas Payday Statute here.  Note that contrary to frequent practice, the employer is not authorized to deduct items from a worker's paycheck or commissions unless the deduction is authorized by law or by signed agreement of the worker.  

Texas workers can also file a claim with the Department of Labor, Wage & Hour Division if the claim involves violation of minimum wage or overtime violations. 

 

Final Paycheck Due in Six Days in Texas

 Texas Workforce Commission is supposed to enforce the Texas statutes regarding wages.  A statute is a law passed by the state legislature.  TWC provides a summary of the Texas Payday Statute at: http://www.twc.state.tx.us/ui/lablaw/pdlsum.html.  Many employees want to know when must an employer pay the last paycheck?  Frequently,  many employers withhold the last paycheck until Joe Employee turns in his tools, pays for a damaged rear view mirror, turns in her uniforms, or whatever.  

But, the employer cannot do these things.  An employer cannot hold the final paycheck until an employee turns in tools or whatever.  The employer must pay the last paycheck within six days of the last day.  Texas Labor Code Art. 61.014.  But, this law has no real teeth.  The employer can incur a criminal penalty for missing this deadline.  But, few District Attorney’s would have the time to prosecute what they see as a relatively minor crime.  

Final Paycheck Due in Six Days

 Texas Workforce Commission is supposed to enforce the Texas statutes regarding wages.  A statute is a law passed by the state legislature.  TWC provides a nice summary of the Texas Payday Statute.  But, their summary does not answer one frequently asked question, when must an employer pay the last paycheck?  I am asked this often, since many employers withhold the last paycheck until Joe Employee turns in his tools, pays for a damaged rear view mirror, turns in her uniforms, or whatever.  

The employer has no choice.  The employer must pay the last paycheck within 6 days of the last day of employment.  See Tex.L.C. Art. 61.014.  But, what happens to an employer if they do not meet the six day deadline?  Not much.  The employer can incur a criminal penalty, but who will enforce that law and seek a criminal penalty?  In reality, no one does.   Most District Attorney's are far too busy to prosecute a crime they see as relatively minor. 

Deductions from a Paycheck

 Many callers want to know about miscellaneous deductions from a paycheck.  Auto repair shops deduct for lost tools, long haul truck companies deduct for uniforms, everyone deducts for something.  Often, these employers deduct the wrong things in the wrong way.  Under the Texas Payday Statute, an employer can only deduct only what the law allows (such as income tax deductions) and what the employee agrees in writing.  

Of course, the penalty is weak: $1,000 fine or the amount of the deduction, whichever is less.  But, still, the law is clear.  Report any violations to the Texas Workforce Commission.  TWC may not do much.  But, even if all they do is send a letter finding the employer at fault, that can be helpful.