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LuckyTheDog

(6,837 posts)
Fri Sep 12, 2014, 04:18 PM Sep 2014

Report: Wage theft in the US is ‘an epidemic’

If you were to go into a fast-food place and walk out with an $8 combo meal without paying, you could be arrested. You probably would not end up in prison over that theft, but you would be in trouble. The cops would be within their rights if they put cuffs on you and took you away.

So, why is it that forcing an $8-per-hour employee to work for 60 minutes “off the clock” is not an equally big deal? According to a new report from the Economic Policy Institute (EPI), that kind of stealing – wage theft – is a big problem in America. Collectively, it is costing some of our lowest-paid workers hundreds of millions of dollars every year that they cannot afford to lose.

MORE HERE: http://wonkynewsnerd.com/report-wage-theft-in-the-us-is-an-epidemic/



36 replies = new reply since forum marked as read
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Report: Wage theft in the US is ‘an epidemic’ (Original Post) LuckyTheDog Sep 2014 OP
when did the commies start calling free market capitalism "wage theft"? Adam051188 Sep 2014 #1
I hope you forgot.... daleanime Sep 2014 #7
1968 called; it wants its "Love it or Leave It" bumper sticker back. WinkyDink Sep 2014 #26
Didn't know that was 68', thought it was later. Adam051188 Sep 2014 #34
So the commies have surrounded Washington DC? Trillo Sep 2014 #28
i'm trying to make a point by playing the ignoramus-capitalist. Adam051188 Sep 2014 #35
DURec leftstreet Sep 2014 #2
Check post about Joann's fabrics KT2000 Sep 2014 #3
The Poorer You Are, The More Power People Have Over You daredtowork Sep 2014 #4
+1 daleanime Sep 2014 #9
Actually Android3.14 Sep 2014 #15
Nope, it's real power daredtowork Sep 2014 #23
It's amazing how having less money actually leads to feeling poor and actually having less power. Starry Messenger Sep 2014 #27
no BlindTiresias Sep 2014 #29
Kick. GoCubsGo Sep 2014 #5
As a food service manager I've seen this happen Fearless Sep 2014 #6
Neither do the small shops. My sons employer stole thousands of on and off the clock hours from him. Dont call me Shirley Sep 2014 #11
It's really ridiculous! Fearless Sep 2014 #20
My son had the schedule at a whim, most times he had to come in on his days off. Dont call me Shirley Sep 2014 #25
When you pay a server $2.63 hr you're stealing from your customers and your employees. Monk06 Sep 2014 #30
It is the state minimum wage for servers. Fearless Sep 2014 #32
k&r for labor. n/t Laelth Sep 2014 #8
K&R.... daleanime Sep 2014 #10
If I had been paid for all the hours I'd worked as a nurse, I'd be happy.Not min wage, but still uppityperson Sep 2014 #12
It's exactly the same in food service! Fearless Sep 2014 #22
Kicked and recommended. Uncle Joe Sep 2014 #13
it's ok because giant too big to fail corporations are doing it and our justice dept whereisjustice Sep 2014 #14
I've def. seen it happen. Sick, disgusting THEFT. And the DEMS are of no help. None, whatsoever! blkmusclmachine Sep 2014 #16
No one should ever knowingly work off the clock. SheilaT Sep 2014 #17
no one should have to worry about losing their job b/c they didn't work off the clock. redruddyred Sep 2014 #21
Stealing from the poor is the safest way to steal . . . another_liberal Sep 2014 #18
This happened over and over when I worked at Domino's Pizza in Kalamazoo NBachers Sep 2014 #19
We have a wage theft ordinance in my County in Florida kmlisle Sep 2014 #24
I ran into that crap on my first job as a teenager in the early 90s cemaphonic Sep 2014 #31
I had this happen to me laundry_queen Sep 2014 #33
YEP. Rex Sep 2014 #36
 

Adam051188

(711 posts)
1. when did the commies start calling free market capitalism "wage theft"?
Fri Sep 12, 2014, 04:34 PM
Sep 2014

gotta compete to stay competitive!

if you don't want the job the guy on the street corner might decide he does!

if you don't like it move!

 

Adam051188

(711 posts)
34. Didn't know that was 68', thought it was later.
Mon Sep 15, 2014, 04:50 PM
Sep 2014

amazing how things like that take off here. imagine someone trying to sell a slogan like that in a first world country? they'd be laughed at.

Trillo

(9,154 posts)
28. So the commies have surrounded Washington DC?
Fri Sep 12, 2014, 10:48 PM
Sep 2014

I'm just wondering if yours is yet another Republican business owner with buzzwords of the past -- or a real Paul Revere.

Are you saying these Americans, and this organization, are essentially communists?

Economic Policy Institute
From Wikipedia, the free encyclopedia
Question book-new.svg
This article relies on references to primary sources. Please add references to secondary or tertiary sources. (February 2010)
Economic Policy Institute Formation 1986
Founder Jeff Faux, Lester Thurow, Ray Marshall, Barry Bluestone, Robert Reich, Robert Kuttner
Type Public policy think tank
Location

1333 H Street
Washington, DC

Lawrence Mishel President
Revenue $6,573,520 (2010)[1]
Slogan Research and ideas for shared prosperity
Website www.epi.org

The Economic Policy Institute is a 501(c)(3) non-profit American think tank based in Washington, D.C.[2] EPI presents a liberal[3] viewpoint on economic issues. EPI has a sister organization, the EPI Policy Center, which is a 501(c)(4) organization.

EPI advocates for low- to moderate-income families in the United States.[4] EPI also assesses current economic policies and proposes new policies that EPI believes will protect and improve the living standards of working families.[2]

Contents

1 History
2 Areas of research
3 EPI projects
3.1 The State of Working America
3.2 Economic Analysis and Research Network
3.3 Program on Race, Ethnicity, and the Economy
3.4 Broader, Bolder Approach to Education
4 Policy proposals
5 Funding
6 References

History

EPI was founded in 1986 by economists Jeff Faux, Lester Thurow, Ray Marshall, Barry Bluestone, Robert Reich, and Robert Kuttner.[2] EPI's president is Lawrence Mishel.
Areas of research

EPI’s work and activities cover twelve main issue areas,[5] including education; federal budget, deficits, and taxes; health; jobs, wages, and living standards; immigration; labor policy; macroeconomic performance; public investment; race and ethnicity; regulation; retirement; trade and globalization.
EPI projects
The State of Working America

The State of Working America is EPI’s flagship publication and has been published regularly since 1988. The book examines the U.S. economy’s impact on the living standards of working families by analyzing data on family incomes, wages, jobs, unemployment, wealth, and poverty.[6] EPI launched StateofWorkingAmerica.org in 2011, putting the publication online for the first time.
Economic Analysis and Research Network

EPI coordinates the Economic Analysis and Research Network (EARN), a nationwide network of state and regional multi-issue advocacy, policy, and research organizations that operate on a local level. EARN includes 57 organizations in 43 states.[7]
Program on Race, Ethnicity, and the Economy

EPI launched the Program on Race, Ethnicity, and the Economy (PREE) in 2008 to address economic inequalities and challenges faced by racial and ethnic minorities in the U.S. PREE’s goal is to advance policies that help working people of color participate fully in and gain equitably from the American economy.[8]
Broader, Bolder Approach to Education

EPI launched the Broader, Bolder Approach to Education (BBA) in 2008. BBA is a national campaign that acknowledges the impact of social and economic disadvantages on both schools and students and proposes evidence-based policies to remedy conditions that limit many children’s readiness to learn.[9]
Policy proposals

In July 2012, EPI joined forces with the AFL-CIO, Center for Community Change, Leadership Conference on Civil and Human Rights, National Council of La Raza and SEIU to propose a budget plan titled Prosperity Economics, a counter to the Republican Party's Path to Prosperity budget plan. The Prosperity Economics plan suggests that major public investment in areas like infrastructure is needed to jump-start the economy.[10]

In response to the debate over the United States fiscal cliff, EPI economist Josh Bivens advocated taxing the rich, writing "Given this rise in [income] inequality, it makes sense that much of the future burden of reducing budget deficits should be borne by those who have benefited the most from economic trends in recent decades."[11]
Funding

Eight labor unions made a five-year funding pledge to EPI at its inception: AFSCME, United Auto Workers, United Steelworkers, United Mine Workers, International Association of Machinists, Communications Workers of America, Service Employees International Union, and United Food and Commercial Workers Union.[12] According to EPI, about 29% of its funding between 2005 and 2009 was supplied by labor unions and about 53% came from foundation grants.[2]

Creative Commons Attribution-ShareAlike 3.0 Unported (CC BY-SA 3.0)
 

Adam051188

(711 posts)
35. i'm trying to make a point by playing the ignoramus-capitalist.
Mon Sep 15, 2014, 05:09 PM
Sep 2014

no one is willing to say what is actually going on. i'm talking about the abject failure of the voodoo nonsense economics the american fascist state has been peddling since a couple decades before the formation of the federal reserve bank.

capitalism is a disaster. the western world is the richest, most powerful political entity the world has ever known and it is destroying itself from within due to it's own inability to come to terms with the reality of it's irrational beliefs.

capitalism is economic monarchy. why is monarchy bad? because people with power over other people abuse their power.

what is happening in the u.s. right now is a loose coalition of well funded groups are trying to slap some lipstick on this pig and keep her running for a few more decades. bring back a few unions, raise the minimum wage, toss in the ACA or maybe some medicare for everyone and vuala, an economy that cannot be reasonably described as neo-feudal.

and then the u.s. gets to remain a semi-backwater nation on par with russia in every respect except for our aircraft carriers, population size, and....there must be something else....i'll think of it....

daredtowork

(3,732 posts)
4. The Poorer You Are, The More Power People Have Over You
Fri Sep 12, 2014, 05:09 PM
Sep 2014

So you are at the mercy of their recommendations and informal power to grant particular hours/time off and other form of good will. You start to receive compensation in the form of trades and "opportunities" instead of actual money. Part of the psychology behind this is that poor people are in a stance of dependence and permanent gratitude, so they should be grateful for any "opportunities" whether paid or not. But if the poor person weren't seen as being on their knees in gratitude, the relationship would be recognized for what it is: crass exploitation - getting their labor and talents for cheap or free because the poor person has no other choice. The exploiter gets the additional bonus of feeling power over another person and enjoying their gratitude for the opportunity!

One little recognized issue in this category is making employees volunteer for "good causes". A few employers are guilty of this one in my area. The employees feel pressured to do it. The employer gets the credit, the interviews, the reputation as a "good person", the book contract. The employees get to go back to their minimum wage jobs on Monday, having given up a weekend they could have spent with their families, or perhaps at a "good cause" of their own choosing.

daredtowork

(3,732 posts)
23. Nope, it's real power
Fri Sep 12, 2014, 09:04 PM
Sep 2014

Especially once you're so poor that you get caught in "the system", and you're obliged to do a lot of volunteer work for the sake of networking, poorly paid under-the-table work for the sake of survival, and a lot of unpaid "make work" in the name establishing your "attitude" and "work discipline".

For instance, just how many times, and in how many different systems, and on how many different paper forms do I have to re-enter the same set of "work experience" before I've officially had enough "practice" and/or proven I'm willing to meekly comply with orders? The sheer meaninglessness and repetitiveness is so demoralizing - especially when I start to think about how I could be learning some new work skill instead of filling out the SAME form for the gazillionth time. But I do it because in the eye of the State, I have "nothing better to do" and making me fill out form widgets on a form assembly line is "helping me". If I don't do it, I lose services that could actually help me get a job, and I might lose the informal favor of some case worker.

Also, as long as you're in a position of need, everyone in your life who is (genuinely) trying to help you, will be sending you information on (mostly unpaid) opportunities - and will be very disappointed if you don't take their advice (and possibly drift away from helping you) since obviously your poverty proves that whatever you're doing isn't working out for you.

The pressure on people who are poor is very high, and the irony is a lot of it is stress from unrecognized overwork. 3-4 times a week I find myself committed to being more than one place at the same time (travel included) and terrified at the implications of losing the favor of and/or dealing with the judgment of the parties involved ---- just like you're average harried worker except I'm not paid for it: I go without basic necessities and bear the constant risk of homelessness instead.

It's all a continuum: the further down you go in the power hierarchy, the more your labor and "answerability" becomes unpaid.

Fearless

(18,421 posts)
6. As a food service manager I've seen this happen
Fri Sep 12, 2014, 06:22 PM
Sep 2014

When reported it is ignored. Corporations don't give a crap about you.

Dont call me Shirley

(10,998 posts)
11. Neither do the small shops. My sons employer stole thousands of on and off the clock hours from him.
Fri Sep 12, 2014, 06:32 PM
Sep 2014

$9.00 an hour is just too much to pay a guy with a family!?

Fearless

(18,421 posts)
20. It's really ridiculous!
Fri Sep 12, 2014, 07:59 PM
Sep 2014

For instance on a similar topic... I get chewed out if my closing server isn't out in time... Say they're a half hour late... In MA servers get $2.63 an hour plus tips. That half hour costs the company $1.32! So I'll get chewed out by a district manager over the phone for fifteen minutes for ensuring the restaurant is clean at the end of the night!

Then of course I'm supposed to discipline the server. While I flat out lie about doing so, many will actually do it thinking that they're being good employees. Then the server pleads with the manager to let them work off the clock or simply doesn't tell them and does so so that they don't get yelled at and possibly risk losing their job for doing their job! Of course the manager knows they do this and let's it go because they won't be yelled at either. It's disgusting!!

Dont call me Shirley

(10,998 posts)
25. My son had the schedule at a whim, most times he had to come in on his days off.
Fri Sep 12, 2014, 09:47 PM
Sep 2014

It wasn't much like that in the 80's, I didn't encounter any wage theft or much work beyond my job description.

I feel for all of the restaurant employees today. It's gotta be rough.

Monk06

(7,675 posts)
30. When you pay a server $2.63 hr you're stealing from your customers and your employees.
Fri Sep 12, 2014, 11:47 PM
Sep 2014

In terms of thievery that is double dipping which is brilliant in a sick sort of way.

If restaurant owners could get their meat from the cattle for free they would do that too.

uppityperson

(115,677 posts)
12. If I had been paid for all the hours I'd worked as a nurse, I'd be happy.Not min wage, but still
Fri Sep 12, 2014, 06:39 PM
Sep 2014

Understaffing leads to not being able to finish 8 hours work in 8 1/2 hours, so you stay for another hour. And then you need to chart. And then they tell you it is costing too much and you can't have any overtime. Or cut your 8 1/2 hour shift to 4 1/2 hours saying another nurse can cover the rest of it. Seriously.

And for minimum wage workers? ARGH. It happens too much, too often across the board.

whereisjustice

(2,941 posts)
14. it's ok because giant too big to fail corporations are doing it and our justice dept
Fri Sep 12, 2014, 06:44 PM
Sep 2014

defers to the wealthy in those delicate corporate matters because America's CEOs shovel loads of cash to politicians and we wouldn't want anything to happen to that money stream, would we? After all, look how well the rich have done during the "recovery". The other 99% of us, perhaps not so well.

 

SheilaT

(23,156 posts)
17. No one should ever knowingly work off the clock.
Fri Sep 12, 2014, 07:08 PM
Sep 2014

The only way management will understand how much staff or work time is needed, is if the employees won't work off the clock.

Don't know if it was company policy or just that particular theater manager, but some years ago when my sons both worked at the local multiplex, we'd gone up to see a movie. When we were in the lobby the manager asked my sons if they'd help him bring in some supplies that just arrived. They said, sure, and would have done it willingly, but the next thing he said, was, "Go clock in." They worked maybe ten or fifteen minutes, but he wouldn't let it be off the clock.

 

redruddyred

(1,615 posts)
21. no one should have to worry about losing their job b/c they didn't work off the clock.
Fri Sep 12, 2014, 08:00 PM
Sep 2014

but such is the modern american workplace.

 

another_liberal

(8,821 posts)
18. Stealing from the poor is the safest way to steal . . .
Fri Sep 12, 2014, 07:15 PM
Sep 2014

And it's the easiest way to get rich. Just ask the Walton heirs.

NBachers

(17,122 posts)
19. This happened over and over when I worked at Domino's Pizza in Kalamazoo
Fri Sep 12, 2014, 07:25 PM
Sep 2014

"Go punch out, then clean up."

One time, we got a bunch of us together and went to the State Employment Service with our complaints.

Nothing ever happened, nothing ever changed.

kmlisle

(276 posts)
24. We have a wage theft ordinance in my County in Florida
Fri Sep 12, 2014, 09:05 PM
Sep 2014

It passed in 2013 and the state legislature immediately introduced a bill that would have weakened it significantly. The original ordinance was passed in Miami and then Broward County and then my home, Alachua County in North Florida. Those counties pushed back and the legislation failed. Since it was instituted about 6 months ago in our town of 125,000 has returned about 10,000 dollars in lost wages to workers (as of August 2014). In Miami which has had the ordinance for several years millions have been returned. If you expand that to the entire country the amount being stolen is staggering!

The service as it works here essentially acts as a mediator between worker and employer with documentation required from workers and if the owner refuses to pay they can be fined. When the mediator approaches the employer with the documentation they usually pay up fairly rapidly. For the worker where the average claim is 200 dollars or less there are no lawyer fees that would have eaten up the returns and the money goes directly into their pockets!

The labor council educated the public about this issue and one of the things I learned was that a common wage theft is on tips included in the bill on your credit card. The owners will take a percentage or all of it so I try to carry cash for tips and give it directly to the wait staff.

If you are interested in this for your county or town here is the labor council's web site on wage theft. Te whole story is there. http://acwttf.org/

cemaphonic

(4,138 posts)
31. I ran into that crap on my first job as a teenager in the early 90s
Sat Sep 13, 2014, 12:58 AM
Sep 2014

The managers would regularly make people clock out (or "helpfully" do it for them) at the store closing time, and then make everyone stick around for another half-hour or more cleaning up. When I told the manager that I was leaving at 9, or staying on the clock, I got a lot of pressure and talk about teamwork and the unfairness of making other employees work even longer. Being a bit naive, and liking my coworkers, this even worked a few times, but I got fed up and went back to my earlier request. I thought they'd just fire me, but I think they decided that since I wasn't actually dependent on the job, and was a fairly dependable employee (and since having a smart teenager aggrieved at you when you're skirting labor laws was asking for trouble) they started letting me go at closing, which of course made it look like I was getting some sort of special treatment to everyone else.

One of the women that worked there was really nice, really talented, and so good with the customers that she drove a ton of repeat business into the store (customers would specifically ask for her, and if she wasn't available, they would find out when she would be back to get their work done.) Any sensible manager would have bent over backwards to keep an employee like that happy, but our jackass manager had her so keyed up with stress that she might lose her job that she worked dozens of unpaid hours every month. And then when she finally had enough, and found a better job, he tried going through her friends to guilt her into coming back. That place was goddamn infuriating, but it was good motivation for getting a good education.


I have a friend who had a job once where his employer was constantly trying to pay him in barter. As in "Say, thanks for repairing those accordions, how about I give you this pallet of blue jeans as payment?"

laundry_queen

(8,646 posts)
33. I had this happen to me
Sun Sep 14, 2014, 11:47 PM
Sep 2014

several times as a teen. I remember thinking how unfair it was. When, as an adult, I got my first full time retail job, at first I went along with it - closing only took 5-10 minutes so I didn't feel like it was worth it to complain. Until they decided we were not allowed to count cash when a customer was in the store, nor were we allowed to remind the customer we were now closed. Many times I had to stay an extra hour. I started keeping track. I looked up the labor law (where I live) and made sure I made a photocopy (ah, back before the internet) and kept it with my log I kept of my overtime hours. When the employer decided to let me go, which in itself is quite a story of a breaking of labor laws, after I got him to agree to give me a good reference, I showed him my log of hours and told him that I expected those hours to be on my final check, seeing as it was against the law for them to make me work that extra time with no pay, and that I was sure their company MEANT to follow the law, surely it must be some kind of oversight.

The hours were on my final check (several hundred dollars). I'm sure they did not expect a 20 year old to cite the specific labor law they were breaking. And it turns out I never needed their reference anyway.

Now that I have teens who are working, I make sure I let them know what their rights are. So far, their employer (they work for the same place, local grocery store) is very good. Everyone clocks in when they show up and clock out only when they are done and leaving. I don't think it happens as much anymore where I live (robust economy here).

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