An employer's failure to pay wages earned and due can financially harm a worker and their family and eventually lead to serious consequences for the business owner and operators. A federal court recently ruled that the owner of a Texas warehouse provide $12.3 million in restitution to former employees for the failure to pay wages earned and due. The group of workers previously employed by the company claimed that they were regularly required to work more than 40 hours per week without compensation for overtime.
The businessman may be required to provide the entire contents of a warehouse to the victims that suffered lost wages from overtime and other penalties to begin the repayment process. The business operation was responsible for the warehouse collection and resale of collectibles and jewelry. The contents may be sold to help fulfill the court-ordered repayment of missing wages.
Representatives of the victims have requested that the employer furnish a $1.2 million monetary settlement and repay the missing wages over time in $100,000 payments. The payments have been requested monthly until the restitution is fulfilled. A settlement is currently being discussed that could potentially provide the victims with an initial $25,000 and an additional $5,000 in restitution annually for a five year period.
Records indicate that the courts are reviewing the settlement requests and will make a ruling in the near future. The amount of money requested by the victims is meant to cover their Texas employer's failure to pay wages earned and due. A person that believes they are missing a significant amount of earned compensation may also choose to pursue action against their employer.
Source: sj-r.com, "Parsons ordered to turn over warehouse contents as first payment toward $12.3M judgment", Tim Landis, Oct. 3, 2014