Employment Law - Unpaid Wages & Commissions

The law requires employers to pay their employees a minimum wage for all hours worked. Your employer may not make deductions from your wages if those deductions bring your pay rate below minimum wage. Also, Minnesota employers may not reduce your wages because you earn tips. However, these laws may not apply to you if your main job duties involve management of other employees on your employer’s behalf.

This law applies even if you receive a salary, commission, or fixed sum for each piece of work you complete. In these cases, your average earnings per hour worked cannot fall below the minimum wage. If your weekly earnings do not meet the minimum wage requirement, your employer is required to make up the difference. Additionally, if your employer makes a contract with you, or otherwise promises, to pay a commission for your work and then fails to do so, you may be able to sue your employer to receive your unpaid commission.

Some examples of violations of wage and overtime laws are:

Your employer does not pay you, or pays you less than minimum wage, for any portion of the total hours you work, even if your average pay rate for all hours worked is above minimum wage.
Your employer withholds wages from your paycheck, issues you an incorrect paycheck, or issues you a paycheck that bounces when you try to cash it.
Your employer pays you commissions or salary, but your average earnings per hour worked is less than minimum wage. Or your employer withholds commissions that were promised to you.
Your employer files for bankruptcy and does not pay you the wages you have earned.
Your employer closes the plant where you work, or lays off a large number of employees, and fails to provide you and your co-workers with at least 60 days advance notice of the closing or layoffs.

Nichols Kaster & Anderson, PLLP has litigation experience in many types of cases, including wage and overtime violations. If you think you may become involved in litigation with your employer, feel free to contact us.

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