Employee compensation is defined as cash payments and/or benefits that a worker receives in exchange for the services that they provided to their employer. The majority of employees receive wages or salary payments as their main form of compensation. However, employees may also receive other forms of compensation such as health/life/disability insurance, pensions, vacation benefits, and stock options.
Compensation may be divided into two main categories: fixed and variable. Fixed is usually subject to a set rate and includes wages, salaries, and benefits. Variable is often dependent on the employee’s performance, and can include sales commissions, pay bonuses, cash incentives, and other similar forms of compensation. The expected form and amount of compensation is generally stated in the employment contract.
The most common type of employee compensation disputes are wage and hour disputes. This type of dispute can include withholding pay, disputes over overtime pay, and disputes involving minimum wage or other pay rates. Other disputes may include:
Late, delayed, and docked paychecks tend to be very common concerns and issues. It’s always important to first read your employment contract/documents to make sure that the contract clearly states when you will get your paychecks and when your wages can be docked.
Keep in mind that your pay cannot be docked for poor work performance or a bad review. Docked pay typically only occurs if it was proven that the employee stole from the employer or that the employee broke product/equipment. Typically docked pay must be notified before it occurs and if an employer wants to dock pay due to stolen products, then they must first prove and establish that it occurred.
Employment compensation lawsuits can vary and many involve wage and hour claims. Most wage and hour claims include:
In some cases, a dispute over employee compensation may be resolved through the company’s human resources department. This can often help to sort out a minor disagreement or a clerical error.
More serious violations and disputes may require an investigation by a government agency such as the EEOC, especially if the dispute in question involves allegations of discrimination. Under the Fair Labor Standards Act (FLSA), there are a number of different ways that you can recover wages owed to you. You can:
The remedies that may be available if you are successful in a wage and hour claim against your employer are:
Employment compensation require analysis of many different documents and statements that prove your claim that you were either underpaid or were not paid for the hours that you worked. These can include:
Disputes over compensation can sometimes involve large sums of money. This is especially true if a compensation issue has been going on for several weeks or months. You may wish to hire a qualified employment lawyer in your area if you need help resolving a compensation dispute.
Your attorney can provide you with legal advice for your claim and inform you of your options. If you need to file a lawsuit or an administrative claim, your attorney can represent you and make sure your interests are protected.
Last Modified: 09-03-2018 02:03 AM PDTLaw Library Disclaimer
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