New York Based Law Firm Faruqi & Faruqi, LLP Looks at if Employees Can Be Punished for Complaining About Wages

Faruqi & Faruqi, LLP
3 min readNov 16, 2020

While complaining about work might be the country’s unofficial pastime, there are scenarios when a grievance is serious, such as those involving complaints about wages. The bad news is that these egregious violations are more prevalent than some people believe. What is more, reports have revealed that during the current recession that was triggered by the COVID-19 pandemic, the denial of wages or benefits rightfully owed to an employee — more commonly known as wage theft — has significantly spiked among minimum-wage workers who are more vulnerable than their higher-paid workforce counterparts.”

However, the good news is that workers can and should avail themselves of very strong legal protections if they are the victims of wage theft and any other wage-related violation. A representative from the industry leading law office Faruqi & Faruqi LLP provides a brief overview of labor standards in New York.

The Fair Labor Standards Act (FLSA)

“With certain exceptions to salaried employees who work in some executive, administrative and professional positions, the federal Fair Labor Standards Act (FLSA) establishes minimum wage and overtime standards that apply to all employees nationwide,” commented a representative from Faruqi & Faruqi, LLP, which is marking its 20th anniversary in 2020. “Furthermore, all employers in New York must comply with New York State’s minimum wage rules and overtime pay rules.”

In theory, employers who contemplate engaging in conduct that is both unlawful and reprehensible — such as under-paying or not paying for overtime when doing so is required, misclassifying employees as independent contractors to avoid paying benefits and other mandatory employer related costs, forcing workers to incur transaction fees associated with the use of prepaid debit cards, tip pooling violations, and other wage-related transgressions — would be hesitant to do so, because they would be subject to investigations that would lead to fines, court-awarded judgments (or out-of-court settlements), and lasting reputation damage.

However, in practice, unfortunately this is not always the case, and the reason is easy to understand: workers are afraid of complaining about wages, because they fear that they will be demoted, terminated, harassed, or penalized in some way (for example, the promotion that they were clearly in line for goes to someone else less capable). Fortunately, they have a very powerful ally on their side: the government.

Understanding Your Legal Rights

“It is categorically against the law for employers to retaliate in any way, directly or indirectly, at the present time or in the future, against a worker who takes action and asserts their right to appropriate, fair, and customary compensation,” commented a spokesperson from Faruqi & Faruqi, LLP which is headquartered in New York and maintains offices in Pennsylvania, California, Delaware and Georgia. “This action may include complaining directly to the employer, filing a complaint with the state or federal department of labor, and seeking the counsel of and potentially representation by a wage and hour attorney. Most importantly, it is essential be aware of your legal rights.”

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Faruqi & Faruqi, LLP

At Faruqi & Faruqi, LLP we focus on Securities, Merger & Transactional, Shareholder Derivative, Antitrust, Consumer Class Action and Employment litigation.