The Trump administration passed a new policy that will make the lawsuit process more difficult for employees who wish to sue their employers for wage theft. The policy loosens the federal government’s “joint employer” rule for businesses that hire contractors, so contractors who wish to sue companies will now run into roadblocks.
The policy directly overturned a rule from the 2016 Obama administration that had given more power to workers to hold companies accountable for shorting their paychecks.
The policy will be enacted formally on March 16 and established a test that determines whether a company is a joint employer.
Factors taken into consideration when determining whether a company is a joint employer include:
- Whether the company can hire/fire employees
- Whether the company supervises the employee’s schedule
- Whether the company sets wages
- Whether the company maintains employment records
The policy is expected to have a large impact on the workplace, especially amidst the lawsuits filed against corporations like Amazon and McDonald’s for unpaid overtime and minimum wages. However, certain states that have protective workers’ rights laws, such as California, will not be affected by the new policy.
Common Unlawful Compensation Practices
As a worker, you have certain protected rights that enforce consequences if they’re violated.
Examples of unlawful compensation practices include:
- Cutting meal breaks
- Failing to compensate workers for overtime
- Requiring employees to work off the clock without pay
- Misclassifying workers as exempt or independent contractors
Even if you’re unsure whether or not your rights have been abused, it’s best practice to call an employment lawyer who can listen to your issue and advise you.
Checking Those in Power
Donati Law, PLLC isn’t afraid to go up against large corporations. If you’ve been mistreated or your rights have been violated at your workplace, your employer should be held responsible for their actions – you deserve justice. For over 35 years, our lawyers have represented employees and victims in cases ranging from small disputes to large court cases, and no issue is too simple or complex for us to handle. We are committed to protecting you and your rights in the workplace, no matter what.
If you’re an employee who has been wronged by the company you work for, call Donati Law, PLLC at (901) 209-5500, or contact us online for a consultation with professionals who have worked in employment law for more than 35 years. Our lawyers are committed to representing the interests of individuals and holding large corporations and powerful people responsible for their mistakes.