50 Billion a year stolen (1 Viewer)

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By employers who face little to no repercussions.

Survey evidence suggests that wage theft is widespread and costs workers billions of dollars a year, a transfer from low-income employees to business owners that worsens income inequality, hurts workers and their families, and damages the sense of fairness and justice that a democracy needs to survive. A three-city study of workers in low-wage industries found that in any given week, two-thirds experienced at least one pay-related violation.1 The researchers estimated that the average loss per worker over the course of a year was $2,634, out of total earnings of $17,616. The total annual wage theft from front-line workers in low-wage industries in the three cities approached $3 billion. If these findings in New York, Chicago, and Los Angeles are generalizable to the rest of the U.S. low-wage workforce of 30 million, wage theft is costing workers more than $50 billion a year.

It is useful to compare the cost of these wage and hour violations with crimes that are better recognized and greatly more feared, though they are much smaller in their overall dollar impact. All of the robberies, burglaries, larcenies, and motor vehicle thefts in the nation cost their victims less than $14 billion in 2012, according to the FBI’s Uniform Crime Reports.2 That is well over one-third of the estimated cost of wage theft nationwide.

Looking in more detail, in the United States in 2012, there were 292,074 robberies of all kinds, including bank robberies, residential robberies, convenience store and gas station robberies, and street robberies.3 The total value of the property taken in those crimes was $340,850,358. Those are not the robberies that were solved; those are all the robberies that were reported to the police, anywhere in the nation.

No one knows precisely how many instances of wage theft occurred in the U.S. during 2012, nor do we know what the victims suffered in total dollars earned but not paid. But we do know that the total amount of money recovered for the victims of wage theft who retained private lawyers or complained to federal or state agencies was at least $933 million—almost three times greater than all the money stolen in robberies that year.

Businesses steal ~2/3 rd's more per year from employee's than all other thefts combined and we have next to no policing of this. Seems like someone should be enraged.

But ISIS, emails, and Abortion...
 
Most states have fairly strong penalty-wage statutes. There are remedies - but it's hard to say why workers aren't getting that relief and why businesses aren't deterred from doing it.

I know that a chain of Mexican restaurants here recently went out of business after the owner was charged with a second-round of wage theft. A previous incident was the subject of a settlement but he was apparently up to it again and has been sentenced to jail time. The chain is closed.
 
A carpenter without math skills will get underpaid and be glad to get it.
A carpenter without math skills?
I don't think he could actually be considered a carpenter. :hihi:
 
I've heard anecdotal stories about my employer denying commissions to sales people when they end up being "too big".

Frankly I'm glad I'm not on a commission plan with them.

I think too many workers are afraid to file complaints against employers for fear of losing their jobs. I know I was.

My previous position, I got a % (as an annual bonus) of the bottom-line earnings of the office. Right before it was to be paid out, I was told that the office had to pay out a 4% "commission" to (coincidentally) the CEO/owner's daughter (who held my position prior to me obtaining it). This ended up lowering the office's profits and took about $2K out of my pocket.

The bottom line - I don't trust anyone. Big companies, small companies, unions, any of them. They're all out for their own good.
 
I've heard anecdotal stories about my employer denying commissions to sales people when they end up being "too big".

Frankly I'm glad I'm not on a commission plan with them.

I think too many workers are afraid to file complaints against employers for fear of losing their jobs. I know I was.

My previous position, I got a % (as an annual bonus) of the bottom-line earnings of the office. Right before it was to be paid out, I was told that the office had to pay out a 4% "commission" to (coincidentally) the CEO/owner's daughter (who held my position prior to me obtaining it). This ended up lowering the office's profits and took about $2K out of my pocket.

The bottom line - I don't trust anyone. Big companies, small companies, unions, any of them. They're all out for their own good.




You better believe it. No one is indispensable at any level of a company except the people who own it.
 
I wonder how this jives with workers doing things other than work while on the clock?
Fortune says fantasy football may cost employers 13.4 billion a season. Then you ahve stuff like online shopping, and saintsreport to deal with.
Study: Fantasy football costs businesses $13.4 billion a season | Fortune.com

My employer is super nervous about people working off the clock and very quick to write people up/terminate them for doing so. Usually if someone is working off the clock here, its not management telling them to do it, its something they are just doing and not logging.
 
Jesus would like a word

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