The Fair Labor Standards Act (FLSA) was established in 1938 to ensure that workers received the wages they were owed for their time and attendance and were performing tasks in safe environments. These standards have been amended over time to reflect current standards, but they may not yet be good enough, as wage theft is still a common problem.
This month, the Iowa Policy Project released a reported, called "Wage Theft in Iowa: An Invisible Epidemic Exposure, Enforcement Needed to Protect Iowa Workers' Paychecks." The report outlined widespread FLSA violations, especially in low-paying industries. Four problems were most prevalent, including misclassifications, underpayments, tip confiscations and paycheck deductions.
Subtracting the costs of employees' uniforms when they first start a job, taking out the costs of broken dishes or confiscating pay when a cash register is short may not seem like theft, according to The Huffington Post. However, it strips workers of the wages they rightfully earned for their
employee attendance. These violations are considered theft, and often punish those who need the money most.
Employers can avoid violations, penalties or reputation losses by implementing payroll policies that ensure workers receive the proper wages.
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