Sue Employer for Unpaid Wages in Michigan

Under both federal and Michigan 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 Michigan have a right to receive fair wages that are paid promptly and accurately under the federal Fair Labor Standards Act (FLSA) and the Michigan Workforce Opportunity Wage Act (WOWA). The Michigan Workforce Opportunity Wage Act currently sets the hourly minimum wage at $10.10.

The WOWA also requires employers to pay employees overtime for hours over 40 worked in a single workweek. Michigan’s overtime rate is 1.5 times their regular pay rate. That means the minimum overtime pay in Michigan is $15.15 per overtime hour.

Employers who violate these laws may be liable to pay their employees their unpaid wages, an amount for damages, and attorney’s fees. In addition, a person who has the authority to make decisions about an employer’s payment of wages may be personally liable for any violation and can be sued to recover unpaid wages and other damages as provided by Michigan law.

A worker may recover wages they are owed by their employer as follows:

• A Federal Claim for Unpaid Wages: A person 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 they are entitled under federal wage laws.
• Lawsuit in Small Claims Court or Other Michigan Civil Court: If a person is owed $7,000 or less, they may file a small claims suit under both the FLSA and WOWA. If owed more than $7,000, they may file a lawsuit against their employer in other state courts or in federal court.
• Michigan Wage and Hour Program Claim: A person may also file a claim with the Michigan Wage and Hour Program. If they have already filed a claim with the Michigan Wage and Hour Program or the U.S. Wage and Hour Division, they usually can later file a lawsuit in court on the same issue if the federal or state agency is not able to help them.
• 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 a person 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 they would want to consult their union representative before taking any other action.

If a person’s employer has filed for bankruptcy, then the person may need to file a wage claim in bankruptcy court. Bankruptcy is a process that has its own court and procedures, so anyone who has to turn to bankruptcy court may want to talk to a bankruptcy lawyer.

A local Michigan lawyer would be able to explain how to recover unpaid wages, plus interest and additional damages. If an employee’s claim is successful, the employee may also 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 a Michigan civil court, or a union grievance procedure.

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. The time limits may be different between agencies 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 Michigan.

How Do I File an Unpaid Wages Complaint?

A person who has not been paid the wages or other benefits they are owed by their employer may file a back wage claim form with the Wage and Hour Division of the federal Department of Labor. The Division processes the claim and recovers the unpaid wages for the employee. Or they may file a claim with the Michigan Wage and Hour Program.

They may also file an unpaid wages lawsuit in a Michigan civil court. As noted above, they would choose the right court depending on the amount of money they seek to recover.

How Much Can I Sue 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.

Currently, the minimum wage in Michigan is $10.10, so workers in Michigan must be paid the state minimum wage and not the federal wage, which is only $7.25 per hour. Michigan law also has overtime rules. Employees who work more than 40 hours in a single workweek must be paid overtime. The WOWA overtime rate is at least 1.5 times their regular pay rate. That means the minimum overtime pay in Michigan is $15.15 per overtime hour.

When a person 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.

They may also file an unpaid wages lawsuit in a Michigan 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 Michigan law, as noted above. Other penalties might be owed by the employer depending on state or federal law. A lawyer would be able to help 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, an employee 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, in a lawsuit in a Michigan court, they may be able to recover an additional amount as a penalty as well as attorney’s fees and costs.

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 a Michigan 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.