Under both federal and Arizona labor laws, a worker who has not been paid the wages they are owed by their employer may bring a legal action to recover their unpaid wages. Workers in Arizona have a right to receive fair wages that are paid promptly and accurately under the federal Fair Labor Standards Act (FLSA) and the Arizona Fair Wages and Healthy Families Act.
Unpaid wages may be wages that a worker has not been paid for working overtime or wages that do not equal the Arizona minimum wage. Unpaid wages may consist of wages that an employee does not receive at all or not in the amount that an employer promises, working “off the clock,” or unpaid bonuses and commissions. Or an employer may take unauthorized deductions from an employee’s paycheck or fail to issue a final paycheck.
Employers who violate these employment laws may be liable to pay their employees their unpaid wages, an amount for damages, and attorney’s fees.
A worker may recover wages they are owed by their employer as follows:
- A Federal Claim for Unpaid Wages: A worker may submit a claim for unpaid wages to the Wage and Hour Division of the federal Department of Labor. A claim might involve hourly wages as well as unpaid overtime pay to which the worker is entitled under federal wage laws.
- Lawsuit in Small Claims Court or Other Arizona Civil Court: If an employee is owed $3,500 or less, they may file a small claims lawsuit under both the FLSA and Arizona law. If they are owed more than $3,500, they may file a lawsuit against their employer in other Arizona state courts or in federal court.
- Industrial Commission of Arizona Claim: A worker may also file a claim for up to $5,000 for unpaid wages with the Industrial Commission of Arizona.
- Union Grievance Procedure: Workers who are members of labor unions have protections in their union contracts. A union collective bargaining agreement sets the wages and benefits for jobs covered by the contract.
So, if an employee is a union member and they are not paid or are not paid per the rates set in the contract, they may file a grievance through their union representative. A union’s contract also sets its grievance procedure, so a union member would want to consult their union representative before taking any other action.
If a person’s employer has filed for bankruptcy, then the employee may need to file a wage claim in bankruptcy court. Bankruptcy is a process that has its own court and procedures, so an employee who has to turn to bankruptcy court may want to talk to a bankruptcy lawyer.
A local Arizona lawyer would be able to explain how an employee may recover their unpaid wages, plus interest and additional damages. If an employee’s claim is successful, the employee may also be able to recover their attorney’s fees and court costs.
What Should I Do if My Employer Has Not Paid Me?
If an employer fails to pay an employee, the employee may recover the full amount of money they are owed in a claim or lawsuit, as explained above.
They may file a claim with the federal Department of Labor, a lawsuit in an Arizona civil court, or a union grievance procedure. A worker seeking unpaid wages may file a claim for up to $5,000 to the Industrial Commission of Arizona.
How Do I File an Unpaid Wages Complaint?
If an employer fails to pay an employee, the employee may recover the full amount of money they are owed in a claim or lawsuit, as explained above.
They may file a claim with the federal Department of Labor, a lawsuit in an Arizona civil court, or a union grievance procedure. They may also submit a claim for up to $5,000 to the Industrial Commission of Arizona.
It is important to keep in mind that there are time limits for filing a claim with state and federal agencies and for filing a lawsuit in court as well. Different agencies may have different time limits for the same violation. The time limits for claims may be different for federal and state agencies and lawsuits in court.
If a claim or lawsuit is not filed before the time limit is reached, a person may lose their right to file their claim or lawsuit. So, they do not want to delay filing their claim and should act promptly to make their claim under the employment laws in Arizona.
How Much Can I Collect for Unpaid Wages?
Under the federal Fair Labor Standards Act (FLSA), an individual is entitled to be paid the highest minimum wage that applies where they work, whether it is local, state, or federal.
In 2025, the minimum wage in Arizona will increase to $14.75 from $14.35, the 2024 wage, so workers in Arizona must be paid the state minimum wage and not the federal wage, which is only $7.25 per hour. Arizona law does not provide rules regarding overtime, so in that domain, federal law governs employers in Arizona.
Employees who work more than 40 hours in a single workweek must be paid overtime. The federal overtime rate is at least 1.5 times their regular pay rate.
When an employee figures out how much their employer owes them in back pay, they want to calculate how much they were paid, if anything, and what they should have been paid. They would then multiply that amount by the number of hours for which they should be paid.
An employee may also file an unpaid wages lawsuit in an Arizona civil court. If they are a union member, as noted above, they want to talk to their union representative.
What Are the Legal Consequences and Remedies for Unpaid Wages?
Of course, the amount a person can recover depends on how much their employer owes them. Generally speaking, they can recover the full amount of wages they are owed and possibly interest and attorney’s fees and costs.
In addition, they might be able to recover a penalty that is allowed by federal or Arizona law. Other penalties might be owed by the employer depending on state or federal law that applies or a contract that a worker may have with their employer. A lawyer would be able to help an individual determine exactly how much they might recover.
How Can I Prove an Unpaid Wages Claim?
In a lawsuit for unpaid wages that seeks the payment of overtime or wages that were less than the minimum wage, a worker may be able to recover the following:
- The full amount of unpaid wages and benefits they are owed
- Interest on the full amount of unpaid wages and benefits
- Reasonable attorney’s fees and court costs.
As noted above, in some cases, depending on the applicable law, a worker who seeks unpaid wages may be able to recover an additional amount as a penalty, as well as their attorney’s fees and costs.
An employee needs to keep track of the time at which they begin and stop work every day. They should also make note of their meal and rest breaks and the total hours they work.
If a worker is paid by contract or piece rate, they should still earn at least the minimum wage for each hour they work, so they want to keep track of the amount of time they spend on each contract or piece. A worker should also keep every last pay stub they get from their employer. An employer should give an employee a pay stub or wage statement every time they are paid.
The pay stub or wage statement should state the employee’s name, wages earned, dates of the pay period, and their employer’s name, address, and telephone number. It should also show any deductions that were made for taxes or wage garnishments and the hours of sick leave or vacation time accrued, if any.
All of the information and documents listed above should help an employee determine if they have been paid what they are owed. They may also help them with their case if they must file a wage claim.
What Kind of Lawyer Do I Need for Unpaid Wages Claims?
If your employer has not paid you the wages or benefits that you are owed, you want to consult an Arizona employment attorney. LegalMatch.com can quickly connect you to an attorney who can analyze your situation and guide you through the process of getting the full amount of money you are owed.
