If you have employees who perform work in Miami-Dade County, beware! Miami-Dade has become the first county in the United States prohibiting “Wage Theft,” making it easier for employees to sue their employer for unpaid wages. The Wage Theft Ordinance applies to all private employers who do business in Miami-Dade County.
According to the Ordinance, an employer is liable for theft of wages if the employer fails to pay any portion of an employee’s wages within fourteen days from the date the work was performed. Employers have the ability to lengthen this time to a maximum of thirty days from the date the work was performed, but only by an express written agreement signed by the employee. An employee has up to 1 year to file a claim for Wage Theft.
If an employer has imprecise, inadequate or nonexistent time or payroll records, then the Employer has the burden of disproving the claim. In the event an employee proves Wage Theft, the employer will be ordered to pay wage restitution in the amount equal to three times the amount of back wages and the cost of the administrative process which could total thousands of dollars. The potential for additional penalties exists. Additionally, the Ordinance allows for the possibility of class actions for Wage Theft.
Employers must act now to ensure their employment practices are in compliance with the newly enacted Ordinance. Employers need to make absolutely certain that they are properly recording the working hours of their non-exempt employees and are paying them all of their earned wages within fourteen days. If employers are not paying their employees within fourteen days they must immediately alter this practice or obtain written consent from their employees that they will be paid within at least thirty days. Employers should make certain that they properly classify their employees as exempt or non-exempt. Additionally, employers should preemptively work with their employment counsel to ensure wage and hour compliance, to prevent potentially paying an employee up to three times their salary and administrative fees to the county. For additional information on the Wage Theft Ordinance or assistance in complying with the Ordinance, contact a member of Gunster’s Employment Practice Group.
Joseph Curley
Co-Chair
Employment Practice Group
Joseph Santoro
Co-Chair
Employment Practice Group
