The Texas Labor Code is a broad body of employment laws that govern labor standards in Texas. This body of laws includes standards for many issues, many of which are included in Chapter 21 of the Texas labor code, such as:
- Wages;
- Fair work practices;
- Discrimination;
- Wage payments; and
- Workers’ compensation.
The Texas Labor Code is a large body of laws that typically requires the assistance of an attorney to understand. In addition, there are many labor disputes that involve a mix of state and federal violations.
Because of this, many labor violation lawsuits will involve the Texas Labor Code and federal statutes. The labor code in Texas may differ from labor laws in other states.
What Is Employee Compensation?
Employee compensation includes cash payments and benefits that an employee receives in exchange for the services that they provide to their employer. The majority of employees receive wage payments or salaries as their main type of compensation.
Employees, however, may also receive other types of compensation, including:
- Health insurance;
- Life insurance;
- Disability insurance;
- Pensions;
- Vacation benefits; and
- Stock options.
- Employee compensation may be divided into two main categories: fixed and variable. Fixed compensation is typically subject to a set rate and may include wages, salaries, and benefits.
Variable compensation is usually dependent on the performance of the employee and may include:
- Sales commissions;
- Pay bonuses;
- Cash incentives;
- Other similar forms of compensation.
The expected form and amount of employee compensation are typically stated in the employment contract. For example, a company executive may be offered a bonus, an incentive, or a high stock option as part of their compensation package.
If an employer offers a broad package, they may be able to pay an employee a lower salary for their job. There are also certain benefits that are required by law and some that are negotiated between employers and employees.
It is important for an employee to fully understand their compensation package so that they will be able to identify if their employer is denying them compensation that they are entitled to. If an individual has any questions about their employment contract, they should consult a Texas labor lawyer.
What Are Wage Payment Laws?
Wage payment laws are laws that govern how employers are supposed to pay their employees. Failure to follow these wage payment laws may lead to a wage and hour lawsuit.
In Texas, wage payment laws have certain requirements, including:
- Frequency: Employers must pay employees at least twice a month or semi-monthly);
- This only applies to employees who are not exempt from overtime pay;
- Paydays: The employer must also designate the pay dates for the employees;
- Typically, these dates are the 1st and the 15th of each month;
- Failure to pay: If the employer does not pay an employee on the designated day, they must pay the employee on
- another regular business day, according to the consent of the employee; and
- Method: Payments may be in the form of:
- Cash;
- Check;
- A direct deposit.
There may also be other requirements under Texas labor laws, including minimum wage and overtime guidelines. If an employer fails to follow these laws, they may face consequences for the violation.
What Are Some Common Disputes Involved With Texas Labor Code and Wage Payment Lawsuits?
The most common types of employee compensation disputes are wage and hour disputes, which may include:
Common concerns and issues include paychecks that are delayed or docked. It is essential for an employee to review their employment contract or other documents to ensure that their contract states clearly when they should receive their paycheck and when and if their wages may be docked.
It is important to note that an employee’s pay cannot be docked based on poor work performance or a bad review. Docket pay usually only occurs if it can be proven that the employee stole from their employer or that the employee broke a product or equipment.
In most cases, an employee has to be notified if their pay will be docked before it is done. Additionally, an employer may want to dock an employee’s pay based on a stolen product. If that is the case, the employer must first prove that the theft occurred.
What if I Have a Wage and Hour Dispute?
The legal remedies for wage payment disputes typically include some type of a damages award to compensate the employee for their lost wages. Calculating the amount of compensation will require documentation by the worker to prove the amount of wages that they lost.
Typically, filing a wage and hour claim requires an employee to file with a government agency, such as the Equal Employment Opportunity Commission (EEOC) or the Texas Workforce Commission. This is especially true if the claim involves some form of discrimination. If these types of agencies are not able to provide a legal remedy, the individual may be able to file a private lawsuit for damages.
How Do I Make a Texas Labor Code and Wage Payment Laws Claim?
If an employee believes they have not been paid all for the wages they earned, they can file a complaint with the Texas Workforce Commission (TWC). An individual may also file a claim with the Department of Labor’s Wage and Hour Division or, if possible, file a lawsuit.
An individual must file their wage claim within 180 days of when their payment is due. An individual can obtain a complaint form from the local TWC office, through a mail request, on the TWC’s website, or by calling 1-800-832-9243 /TDD 1-800-735-2989.
What Are Some Ways to Resolve an Employee Compensation Dispute?
In some cases, a dispute that involves employee compensation may be resolved using the human resources department of the company. This process may often be used to resolve a minor disagreement or a clerical error.
If a violation is more serious, it may require a government agency to investigate, such as the EEOC, especially with disputes involving discrimination. Under the Fair Labor Standards Act (FLSA), there are a number of different ways in which an employee can recover wages they are owed, including:
- Filing a claim with their state labor commissioner;
- Filing a private lawsuit against their employer to recover their unpaid wages and, in some cases, other damages.
Remedies that may be available if an individual is successful in a wage and hour claim against their employer include, but may not be limited to:
- The recovery of all unpaid wages for hours the employee worked;
- Recovery of any unpaid overtime;
- Punitive damages or penalty damages;
- Attorney fees and court fee expenses.
How Are Employment Compensation Disputes Proven?
Employment compensation disputes require analyzing many different documents and statements that prove whether or not a claim that an employee was underpaid or not paid for hours they worked. Documents that may be used to prove a dispute include:
- Pay stubs;
- Work logs, including the input of clocking in and out, etc.;
- Tax papers;
- Receipts and other documents; and
- Statements from other co-workers who have had the same or similar issues.
Do I Need a Lawyer for Help With the Texas Labor Code and Wage Laws?
If you have any issues, questions, or concerns related to the Texas Labor Code and wage and payment laws, it is essential to consult with a Texas employment lawyer. Your lawyer can advise you on the steps you should take to file your claim, the proper agency with which to file your claim, and help you throughout the process.
If you are permitted to file a lawsuit, your attorney will assist you and ensure it is filed within the required timeline. Having a lawyer handle your case will give you the best chance of obtaining compensation.
If you are an employer who has been accused of withholding wages or other wage and payment issues, it is important to have an attorney defending you to ensure your rights are protected. Having a lawyer on your side will help ensure you are not required to pay something you do not owe.
