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Should you consider a class action lawsuit for wage theft?

On Behalf of | Jan 24, 2023 | Employment Law |

When employers do not pay their workers fairly—whether that mean not paying them fair wages or not paying overtime—this mistreatment can significantly impact both workers and their families. Unfortunately, when companies mistreat one employee, that failure to pay them what they are due may not end with one worker. It may be a pattern that impacts many employees.

While learning that you are not the only employee struggling to receive fair pay from your employer can make you feel less alone in your struggle, it can also offer additional legal options. One important option to consider in these situations is the collective action lawsuit. Why might collective action for wage theft be the right choice for you?

What is a class action lawsuit?

In a class action lawsuit, those described in the class must opt-out. Group wage claims are different, as they are actually collective action lawsuits, meaning that all employees impacted by wage theft—with one employee acting as representative—can choose to opt into the class of employees denied required compensation and then they can work together to hold their employer responsible.

It also means that those employees will be involved in a single trial rather than multiple individual trials. This allows employees to work together to reach a large settlement for all those involved instead of facing the cost of an individual lawsuit. However, in wage theft collective actions, the individual damages amounts may be different for each person or employee classification.

If you consider a collective action wage theft lawsuit, it is important to know that bringing a collective action lawsuit can provide additional compensation for the person acting as the class representative in the claim. As a result, choosing to act as the representative of the employees impacted by your employer’s mistreatment could provide even more financial benefits than simply participating in the claim.

Is a collective action lawsuit for wage theft right for you?

Pursuing a wage theft claim can be complex. Not only do you have to navigate legal requirements and deadlines, you may worry about the impact that a claim could have on your career. You may want to explore your legal options to ensure that you take steps to protect your career to determine the right option for your unique circumstances.