Late Payment of Wages in Massachusetts
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What if your employer does not pay you on time? Under the Department of Labor’s Fair Labor Standards Act and the Massachusetts Wage Act, an employer must pay an employee when payment is due. This includes earned wages or salary, earned commissions, and payment for unused accrued vacation upon termination of employment. Violation of these laws is sometimes referred to as "wage theft." This is because your wages belong to you once you have earned them, and withholding payment is a form of stealing.
When is Payment of Wages DueIn Massachusetts, employees generally must be paid weekly or biweekly. There are limited exceptions. If you are part of a union and your negotiated collective bargaining agreement specifies different timing, that agreement will control. There are also certain employees who can by agreement be paid monthly.
Whatever the pay period is, your wages must be paid within six days of the end of it. If you are paid every other week for a Monday through Friday week, your wages are due by the Thursday following the end of the pay period. If you are paid monthly for services in the prior month, the payment must be made within six days of the end of the prior month. |
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Final Paycheck After Termination
If you resign from your job, all earned wages must be paid to you on the next regular payday. If you are fired, you should be paid your last paycheck the day of termination. This final check, whether you resign or are fired, must also include payment for any unused vacation time you have accrued.
Sometimes an employer will hold the final check, or more commonly the vacation pay/ PTO payout, while you are considering whether to accept a severance agreement. You should know that you are owed this money whether you sign the agreement or not. As long as it remains unpaid, the employer is in violation of the Massachusetts Wage Act.
Sometimes an employer will hold the final check, or more commonly the vacation pay/ PTO payout, while you are considering whether to accept a severance agreement. You should know that you are owed this money whether you sign the agreement or not. As long as it remains unpaid, the employer is in violation of the Massachusetts Wage Act.
Is Your Final Paycheck Complete?
When receive your last paycheck, you should check to make sure it contains all wages that are owed to you. In addition to payment for your unused accrued vacation, it should include:
- Payment for all hours worked in the pay period, and time and a half for any hours worked over 40 in a wee if you are a non-exempt employee.
- Any commissions that you have earned before termination.
- Certain travel time, if your job requires you to move from one worksite to another during the day.
What Are Your Rights if Your Employer Doesn't Pay You On Time?
The first thing you should know is that you have the right to ask your employer to pay you without fear of repercussions. It is illegal for an employer to retaliate against you for asserting your rights under the wage and hour laws.
The second thing is that your employer may not be aware there is a problem with how they are paying you. They may not know how to factor in travel time, for example. Sometimes there has also been a simple error with processing payroll that can be corrected quickly and easily.
If you feel you cannot raise the issue with your employer, or if that has not solved the problem, there are other steps you can take.
The process starts by filing a formal complaint with the Massachusetts Attorney General’s Office. They will either investigate your complaint or issue you a “right to sue” letter. This letter gives you the right to bring a civil lawsuit to recover your wages.
If you prove the amount that was owed, your employer will have to pay you three times the amount owed, plus your costs and attorneys' fees.
If your employer pays you before you file a complaint, the damages will be limited to interest on the late paid amounts. This also may be tripled, but it is generally an amount not worth pursuing, unless the payment was many months overdue.
The second thing is that your employer may not be aware there is a problem with how they are paying you. They may not know how to factor in travel time, for example. Sometimes there has also been a simple error with processing payroll that can be corrected quickly and easily.
If you feel you cannot raise the issue with your employer, or if that has not solved the problem, there are other steps you can take.
The process starts by filing a formal complaint with the Massachusetts Attorney General’s Office. They will either investigate your complaint or issue you a “right to sue” letter. This letter gives you the right to bring a civil lawsuit to recover your wages.
If you prove the amount that was owed, your employer will have to pay you three times the amount owed, plus your costs and attorneys' fees.
If your employer pays you before you file a complaint, the damages will be limited to interest on the late paid amounts. This also may be tripled, but it is generally an amount not worth pursuing, unless the payment was many months overdue.
What if You Are Fired for Raising a Wage Complaint?
This shouldn't happen under the law, but sometimes it does. If your employer takes any action against you because you raised a complaint under the wage and hour laws, you may have an additional legal claim for wrongful termination.
For this reason, it is important to make sure that your complaint to your employer is documented in some way. This can be done by sending an email, or even just making a note about your conversations that you keep.
For this reason, it is important to make sure that your complaint to your employer is documented in some way. This can be done by sending an email, or even just making a note about your conversations that you keep.
The Cost of Pursuing Late or Unpaid Wages
Many people feel that they don't have the resources to fight their employer over unpaid wages. The amount of money at issue may not be large, and in most cases the employer has more resources than the employee who is still waiting for the wages they have earned.
The good news is that the wage and hour laws were written with this exact problem in mind. If you file a claim and prove that you are owed wages, the employer will be required to pay your reasonable attorneys' fees and costs. Because of this provision, many employment lawyers will represent you on a full or partial contingent fee basis.
State law and federal law also recognize that people may not bother to assert their rights if the amount owed is not large. For this reason, there are liquidated damages available to an employee who wins a wage and hour case. In Massachusetts, the court is required to award three times your actual damages. Under federal law, double and sometimes triple damages are also available.
The good news is that the wage and hour laws were written with this exact problem in mind. If you file a claim and prove that you are owed wages, the employer will be required to pay your reasonable attorneys' fees and costs. Because of this provision, many employment lawyers will represent you on a full or partial contingent fee basis.
State law and federal law also recognize that people may not bother to assert their rights if the amount owed is not large. For this reason, there are liquidated damages available to an employee who wins a wage and hour case. In Massachusetts, the court is required to award three times your actual damages. Under federal law, double and sometimes triple damages are also available.
What if the Employer Just Can't Pay?
Sometimes late payment of wages is not malicious but the result of a cash flow crunch in the business. That is not a defense to a wage and hour claim, but it can make it difficult to collect.
Massachusetts law has taken this into account as well. If you have a wage and hour claim, you can bring it against the company and certain officers individually. This protects your basic right to your earned wages even if the business itself closes its doors.
Massachusetts law has taken this into account as well. If you have a wage and hour claim, you can bring it against the company and certain officers individually. This protects your basic right to your earned wages even if the business itself closes its doors.
How We Can Help
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If an employer withholds your wages, it’s a serious offense that not only breaks the law but causes stress and anxiety for you. This is why the laws are so strict, and impose such severe penalties on employers. The law recognizes that all workers depend on their wages to live their own lives, pay their bills, and take care of their families.
We can help you protect those rights and recover the money that is owed to you. You can use the button below to schedule a call back from a member of our team, or give us a call at 781-784-2322.
We can help you protect those rights and recover the money that is owed to you. You can use the button below to schedule a call back from a member of our team, or give us a call at 781-784-2322.
