DGAA bLAWg

Overtime Violations in Restaurants

Web Admin - Tuesday, May 27, 2014

illinois overtime violationsWage theft is an increasingly common practice in which employers deprive their workers of wages they are owed through practices like improperly logging their hours or simply failing to pay wages fully and promptly. The problem is serious enough that a report from the Center for Urban Economic Development at the University of Illinois at Chicago estimates that workers in Cook County lose more than one million dollars a day to the practice. One of the most common methods of wage theft is through the violation of overtime laws. Overtime in the restaurant industry is a particular problem because of how overtime rules interact with minimum wage provisions and the tip credit.

Understanding the Tip Credit

The tip credit is a specific exception to minimum wage law that allows employers to pay employees less than minimum wage on the assumption that the worker’s tips will make up the difference. Restaurants are one of the main industries that can take advantage of the tip credit because of their high percentage of tipped employees, such as servers and bartenders.

The exact amount of the tip credit varies by state. In Illinois, employers may deduct up to 40 percent of the Illinois minimum wage as tip credit, giving a new minimum wage of $4.95. The tip credit is a complex piece of the minimum wage law that can give rise to a variety of violations by employers. One of the most complicated of these issues related to the tip credit is how it interacts with overtime law.

The Tip Credit and Overtime

Generally speaking, overtime laws require employers to pay their workers one and a half times their hourly wage for working more than 40 hours in a week. However, restaurants and other employers can still take advantage of the tip credit. Unfortunately, many do so incorrectly. The issue is that many employers take the tip credit out before multiplying the hourly wage by one and a half, when they should take it out after. To illustrate the difference, suppose a server works 60 hours in one week and is paid $4.95 an hour plus tips.

For the first 40 hours, the employer can simply pay the $4.95, but for the last 20 they need to start paying overtime. The incorrect way to do the calculation would be to simply multiply the $4.95 wage by 1.5 giving a new wage of $7.43, which would result in a paycheck of $148.60 for those 20 hours. The proper way to perform the calculation is to multiply the full minimum wage, $8.25, by 1.5 to get $12.38, and then subtract the tip credit afterwards to get a minimum wage of $9.08 and a paycheck of $181.60, a serious difference from the incorrect calculation.

If you believe you have been the victim of an overtime violation, contact an Illinois employment lawyer today. Our firm helps clients in many towns across the northwest suburbs, including in Palatine, Barrington, and Schaumburg.

About the Author: Attorney Ken Apicella is a founding partner of DGAA focusing in the areas of personal injury, employment, insurance coverage disputes, and civil litigation. Ken earned his J.D. from DePaul University College of Law in 1999. He has been named a SuperLawyers Rising Star and a Forty Illinois Attorneys Under Forty to Watch. Ken has written and lectured for the Illinois Institute for Continuing Legal Education and regularly serves as a moderator at Northwest Suburban Bar Association's Continuing Legal Education seminars.

Common Methods of Wage Theft

Web Admin - Tuesday, February 11, 2014

illinois wage theft lawyerMore and more employees are facing issues related to wage theft. Even though many are not aware of what the term actually mean, legal claims related to it have been steadily rising in recent years.

Broadly speaking, wage theft happens when an employer illegally deprives an employee of wages that they are owed. In some cases that can mean subverting laws that guarantee certain benefits to employees, like the minimum wage law, while in others it can simply mean not abiding by the agreement between the employer and the employee, both of which are violations of the law. Wage theft can be broken down into two categories based on the method the employer uses, methods relating to simply depriving the worker of money they are owed, and methods relating to improperly documenting the worker or their pay.

Wage Deprivation

Wage deprivation methods involve improper payroll practices designed to deprive an employee of their pay. The simplest method of this is an employer’s failure to pay their employees on time. This can include tactics like withholding an employee’s last paycheck or paying them for only certain hours or days worked, rather than paying for all their time.

One common, similar method of wage theft involves withholding overtime pay. Under the Fair Labor Standards act, many employees are entitled to overtime if they work more than 40 hours a week. Employers often take advantage of confusion among employees as to whether they qualify and refuse to pay overtime. Fortunately, the Department of Labor maintains a guide explaining worker’s overtime rights.

Documentation Issues

Documentation issues are a slightly subtler version of wage theft. Rather than simply withholding wages, employers will adjust their payroll or misclassify employees to stop paying them everything that the employer owes them. One of the simplest documentation violations is agreeing to pay someone below the minimum wage ($8.25 currently), which is illegal. Employers may also adopt improper policies related to clocking-in, like forcing employees to work for a period in the morning before they start logging hours. These sorts of policies qualify as wage theft since employers owe employees for that time.

Additionally, employers could improperly classify their employees as independent contractors. Independent contractor is a specific legal status related to the amount of freedom a worker has to set their hours and perform tasks as they see fit. Most workers a business hires will not fall into this category, but an employer may try to label employees as this since it allows the employer to avoid things like workers compensation insurance and payroll tax by shifting the burden to the worker.

If you believe you have been a victim of wage theft, or have questions about your employer’s practices, get in contact with an Illinois employment lawyer. We serve clients in areas across the northwest suburbs such as Buffalo Grove, Barrington, and Arlington Heights.

About the Author: Attorney Ken Apicella is a founding partner of DGAA focusing in the areas of personal injury, employment, insurance coverage disputes, and civil litigation. Ken earned his J.D. from DePaul University College of Law in 1999. He has been named a SuperLawyers Rising Star and a Forty Illinois Attorneys Under Forty to Watch. Ken has written and lectured for the Illinois Institute for Continuing Legal Education and regularly serves as a moderator at Northwest Suburban Bar Association's Continuing Legal Education seminars.


Recent Posts


Tags

wrongful termination defective products lawyer Barrington litigation attorney uninsured motorist pedestrian accidents Inverness accident lawyer Crystal Lake injury attorney Illinois wrongful termination lawyer insurance denials Crystal Lake bike accident lawyer Illinois traffic laws Arlington Heights lawyer Affordable Care Act natural gas cell phone accidents independent contractor Palatine probate lawyer Super Mario Buffalo Grove personal injury attorney Rolling Meadows estate planning attorney special needs trust forming a corporation in Illinois Buffalo Grove medical malpractice lawyers license reinstatement Crystal Lake pedestrian accident lawyer Schaumburg car accident attorney Deer Park employment law attorney Arlington Heights car accident lawyer CAM homestead rights Illinois workers compensation lawyer college kids drug crimes lawyer Arlington Heights employment attorney Long Grove real estate lawyer Transfer on Death Instrument Rolling Meadows DUI lawyer coronavirus whistleblower protections Schaumburg personal injury lawyer Chicago attorney disability benefits Deer Park workers compensation lawyer wills and trusts landlord tenant law Illinois medical malpractice case car crashes filing a medical malpractice claim employee misclassification Illinois defective products attorney Illinois employee rights attorney. DNR low-ball insurance settlement civil rights violation social media after death jet ski DUI defense traffic violations Schaumburg wrongful death attorney Illinois workplace lawyer clemency dram shop law Buffalo Grove probate lawyer trusts Illinois registered agent Illinois pet lawyer insurance disputes, Illinois insurance disputes, Illinois insurance dispute attorneys, denied insurance claims, Arlington Heights insurance dispute attorneys Illinois medical malpractice attorney insurance dispute, insurance dispute lawyers, insurance claim denial, insurance claim delays, Rolling Meadows insurance dispute attorneys Rolling Meadows real estate attorney minimum wage Illinois employment law firm personal injury law firm child safety Illinois Schaumburg medical malpractice lawyer living wills foreclosed rental property Rolling Meadows insurance attorney Illinois employment attorneys Home Sale Contingencies estate planning trusts Kenilworth estate planning attorney Palatine personal injury lawyer traffic deaths Arlington Heights injury attorney Illinois elder law attorney dynasty trusts living trust Illinois Probate Act of 1975 Illinois Workers’ Compensation Commission work unions Barrington real estate lawyer Food and Drug Administration's Food Safety Modernization Act Barrington estate planning attorney pedestrian-automobile accident meal breaks estate attorney Rolling Meadows drug defense attorney Buffalo Grove corporate attorney unauthorized overtime blood alcohol content workers comp underfunded trust medical malpractice compensation Rolling Meadows personal injury lawyer Inverness corporate attorney digital information wills DGAA vacation home Illinois motorcycle accident lawyer Chicago corporate attorney insurance claim denial Schaumburg Attorney Joliet general practice lawyers insurance claim denials Chicago car accident lawyer Arlington Heights car crash attorneys medical research products liability preventable medical errors Buffalo Grove insurance claim dispute lawyers gift taxes medical marijuana Illinois traffic ticket lawyer Illinois LLC creation Illinois injury lawyer Palatine real estate lawyer Illinois estate planning law firm involuntary manslaughter Rolling Meadows tax attorney appealing an insurance claim Illinois employment law attorneys Barrington employment law firm expungement Barrington civil litigation attorney installment contracts insurance agents Palatine employment law lawyer underage DUI Illinois probate lawyer pizza emoji deadly crashes workers compensation construction accidents Des Plaines collections attorney landlord DUI rollover car crashes controlled substance criminal record Des Plaines accident attorney employment law, meal breaks, rest breaks, hotel employees, Des Plaines employment law attorneys Crystal Lake personal injury lawyer estate planning attorney eluding a police officer Crystal Lake traffic attorney job lawyers Fair Labor Standards Act Rolling Meadows personal injury lawyers Crystal Lake car accident attorney Schaumburg civil litigation attorney Crystal Lake employment law attorney real estate contract Des Plaines drug lawyer guardianship attorney rollover accidents Chicago will attorney real estate Illinois home inspection head on collisions Illinois traffic accident lawyer Illinois criminal defense attorney Illinois living will Arlington Heights pedestrian accidents contracts Rolling Meadows criminal lawyer personal injury attorney Illinois civil litigation lawyer bicycle accidents foreclosure Rolling Meadows business lawyer cell phone Chicago employment attorney insurance attorney Crystal Lake law firm pay when paid contract Rolling Meadows boating crash lawyer denied insurance claims Legal Info caretaker rights Rolling Meadows corporate lawyer Arlington Heights wills and trusts lawyer Barrington employment attorney FMLA Palatine elder law attorney Illinois Transfer on Death Instrument Buffalo Grove law firm Barrington Traffic Lawyer estate planning for college students insurance claim dispute attorney healthcare claims real estate closing Des Plaines loss of consortium insurance dispute attorney Schaumburg employment attorney Illinois trusts attorney Buffalo Grove car accident lawyer Buffalo Grove traffic lawyers Liquor Control Act employment law, Illinois employment laws murder defense senior citizens rest breaks DUI attorney Deer Park traffic accident attorney accidental death benefits Buffalo Grove injury lawyer estate plan POA traffic offenses Crystal Lake insurance lawyer hit and run accident Illinois insurance lawyer Crystal Lake car accident lawyer denial of life insurance Class A misdemeanor distracted driving accident victims IRA trust transfer IRS Illinois wills and trusts attorneys Illinois employment law attorney caregiver Illinois boating accident lawyer Illinois traffic attorney Palatine workers compensation lawyer Arlington Heights wills and trusts attorneys suspended license DUI penalities civil litigation attorney field sobriety test Illinois Sales Representative Act LLCs real estate leasing automated cars power of attorney for healthcare Illinois medical malpractice claim Des Plaines medical malpractice attorney employment law Chicago will attorney, social media platforms, Illinois estate planning lawyer, Illinois Trust Code traffic crimes traumatic brain injury Mt Prospect Attorney Illinois personal injury lawyer Palatine traffic accidents Barrington criminal defense lawyer GM ignition switches trauma after an accident BUI speeding marijuana Illinois lawyer Arlington Heights criminal lawyer Illinois workplace discrimination attorney PTSD BAIID Buffalo Grove criminal defense lawyer Illinois estate planning attorney murder charges Palatine corporate attorney traffic tickets Illinois personal injury attorney Des Plaines claims law firm privacy Barrington drug crime attorney personal injury lawyer comp time Kenilworth estate planning attorneys Inverness real estate attorney Crystal Lake employment attorney insurance disputes Barrington criminal lawyer estate planning, death tax, succession plans, business estate plans, Barrington estate planning lawyers Des Plaines real estate attorney ACA Schaumburg estate attorney real estate zoning Illinois insurance attorney Exclusions Schaumburg insurance lawyers Deer Park traffic lawyer taxes South Barrington real estate attorney auto accidents criminal Barrington personal injury attorney Illinois business lawyer insurance claim Palatine criminal defense lawyer Long Grove real estate attorney deed transfer Rolling Meadows Chicago trucking accident attorney Long Grove wills and trusts attorneys Illinois Smoke Detector Act truck collisions Deer Park DUI lawyer life insurance lawyer traumatic brain injuries trust payments car accident lawyers probate claims Rolling Meadows employment attorney medical malpractice claims Illinois mortgages drug possession gift tax exemption, estate planning, estate planning strategies, Illinois estate planning, South Barrington estate planning attorneys Colin H. Gilbert insurance claims unfunded trust Rolling Meadows car accident lawyers Arlington Heights Attorney Deer Park criminal attorney license revocation car crash injuries Barrington estate planning lawyer back injuries Fourth of July overtime pay Rolling Meadows accident lawyer Inverness probate lawyer Illinois construction accident attorney life insurance car collision Schaumburg probate attorney Crystal Lake medical malpractice attorneys unpaid assessment Crystal Lake criminal defense attorney Illinois medical malpractice lawyers digital evidence irrevocable trust advance healthcare directive investment property real estate attorney living trust vs will boating under the influence Crystal Lake personal injury attorney Illinois workers compensation attorney Palatine punch death estate planning, digital assets, Revised Uniform Fiduciary Access to Digital Assets Act, Illinois digital assets, Illinois estate planning, pedestrian injuries, pedestrian fatality employment lawyer insurance adjusters digital assets, digital fiduciary, estate planning, digital content, Long Grove estate planning lawyers Retaliatory Discharge owner responsibility medical malpractice, missed diagnosis, delayed diagnosis, medical mistake, Deer Creek medical malpractice lawyers Illinois insurance claim dispute lawyer Deer Park medical malpractice attorney Thanksgiving Chicago estate planning lawyer employee rights probate compensatory time Rolling Meadows employment law attorneys pet law Arlington Heights wills and trusts attorney Illinois real estate product liability Illinois attorney brain injury medication errors Palatine civil litigation lawyer Inverness traffic law firm estate planning probate lawyer real estate attorneys Palatine business attorney Des Plaines insurance attorney financial advisors car accident manufacturing condo Arlington Heights tax lawyer natural gas explosion Palatine drug lawyer rumble strips School Visitation Rights Act hands free device pet bites food poisoning pain and suffering Arlington Heights insurance attorney Chicago employment lawyer mortgage Des Plaines drug crimes lawyer Schaumburg criminal law attorney Des Plaines injury law firm blended families Des Plaines Traffic Lawyer Buffalo Grove personal injury lawyer vacation home fines paid sick leave probate claims process Crystal Lake employment lawyer trench injuries Palatine corporate law attorneys Crystal Lake will lawyer drug crimes Arlington Heights traffic attorney sexual harassment sole proprietorship Des Plaines personal injury lawyer Illinois Human Rights Act Palatine law firm Illinois rollover accident lawyers Schaumburg traffic lawyer Barrington medical malpractice lawyers employment contract, employment law, employment at-will, Deer Park employment law attorneys, contract, life insurance policy Buffalo Grove traffic attorney Employment Discrimination Law construction accidents, personal injury, wrongful death, Arlington Heights personal injury attorneys, workers' compensation reckless homicide fiduciary rule delay income distribution deducation breathalyzer test spinal cord injury overtime violations employment contract Illinois personal injury lawyers Des Plaines motorcycle accident attorney icy parking lots Palatine estate planning lawyer Mount Prospect wills and trusts lawyers commercial leasing denied insurance claim personal injury claim Inverness elder law lawyer drug crime changes to mortgage law wrongful termination, employment law, whistleblower protections, Illinois employment laws, discrimination in the workplace ken apicella breach of contract holiday statistics Palatine traffic lawyer attorney fees anesthesia errors Palatine insurance lawyer personal injury insurance claim delay trustee Crystal Lake business law attorneys digital assets employees Palatine Attorney problem employees Schaumburg FSLA Riverwoods estate planning lawyer digital media accounts, estate planning, Arlington Heights estate planning attorney, elder law Des Plaines personal injury lawyers life insurance claims Arlington Heights wills and trusts lawyers drunk driving federal crimes spinal cord injuries preventing accidents drugs Illinois trucking safety Arlington Heights employment law attorneys estate planning lawyer fatal car accidents BAC commercial real estate health insurance dispute Crystal Lake civil litigation lawyer Illinois car accident attorney operating agreements Crystal Lake accident attorney motorcycle accident Rolling Meadows criminal attorney business litigation mass shooting Federal Food Drug and Cosmetic Act criminal defense new real estate form Inverness real estate lawyer Schaumburg elder law lawyer medical malpractice llinois Real Estate Lawyers Association Illinois job attorney Illinois insurance disputes in terrorem provision Palatine injury attorney Schaumburg construction accident lawyer Arlington Heights personal injury lawyer license suspension workers compensation benefits Schaumburg estate planning lawyer slip and fall accidents Illinois employment law probate fees Crystal Lake medical malpractice law firm Rolling Meadows traffic law firm premises liability Schaumburg employment law attorneys Palatine employment lawyer privacy laws Illinois employment lawyer Schaumburg drug defense lawyer Arlington Heights estate planning attorney Crystal Lake traffic lawyer South Barrington real estate lawyer traffic accidents Chicago lawyer Illinois insurance claims lawyers cell phone tower data Rolling Meadows litigation lawyer Family Medical Leave Act pregnant women Illinois small business Barrington Illinois estate planning lawyer elder abuse trucking accidents Deer Park real estate law firm marijuana crimes attorney unpaid overtime car accident lawyer dog bites Illinois business law atorneys Policy Cancellation Arlington Heights TBI attorney trucking accident lawyers comparative negligence texting and driving nursing home negligence real estate lawyer Arlington Heights trucking lawyer Self-Directed IRA Accounts Illinois insurance dispute lawyers Illinois tax attorney Des Plaines real estate lawyer hiring employees Arlington Heights Traffic Lawyer defective products Illinois real estate lawyer surgical mistakes subcontractor Chicago insurance claim attorneys golf accidents Illinois law residential real estate Illinois insurance claim dispute lawyers Arlington Heights real estate lawyer home inspection lawyer Illinois pedestrian accident attorney corporate law Rolling Meadows Attorney sexual images small business swimming pools Illinois will lawyer right to work civil litigation liens Chicago insurance law firm healthcare rent to own real estate contracts liability claims distracted driving accidents Barrington attorney underinsured motorist Des Plaines pet law attorney liability Inverness injury lawyer traffic violations defense wage theft probate process insurance dispute startup company first degree murder Schaumburg injury lawyer Inverness civil lawyer Arlington Heights accident attorney Rolling Meadows medical malpractice lawyers Illinois estate planning boating accidents Rolling Meadows insurance lawyer slip and fall Landlord Tenant Ordinance Illinois driving without license Kenilworth estate planning lawyer Buffalo Grove employment lawyer Mount Prospect real estate lawyer insurance negligence texting while driving tax attorney driving Des Plaines DUI attorney employment attorney Deer Park accident attorney Rolling Meadows insurance dispute lawyers, insurance dispute Illinois jet ski accident lawyer power of attorney Schaumburg corporate attorney condo association severance agreements IRA benefits living trust benefits Deer Park motorcycle accident lawyer fiduciary rule Inverness estate planning lawyer Colin Gilbert Schaumburg criminal attorney commercial leases car accidents Des Plaines criminal attorney Arlington Heights medical malpractice lawyer personal injury, auto accident injuries, delayed injuries, serious injuries, Des Plaines personal injury attorneys criminal law loopholes workplace sexual harassment drunk driving statistics Crystal Lake estate planning lawyer Long Grove estate planning attorneys internet license Illinois Wage Payment and Collection Act pedestrian accident Illinois employment laws Jay Andrew Rolling Meadows insurance dispute lawyers dealing with problem employees Chicago biking tips murder Palatine trusts lawyer agent Crystal Lake tax lawyer ObamaCare insurance denial appeals bike accident wrongful death Illinois corporate lawyer Des Plaines civil attorney Whistleblower Claims estate tax Inverness DUI lawyer Rolling Meadows traffic attorney Crystal lake insurance dispute attorney modern family estate planning Schaumburg personal injury attorney Palatine construction attorney Deer Park personal injury lawyer Do Not Resuscitate Long Grove estate planning institutional trustee Barrington boating accident attorney Rolling Meadows marijuana attorney Illinois insurance claim attorney Palatine civil attorney TBI motorcycle accident lawyer Buffalo Grove real estate attorney employee discrimination creditors personal injury accidents Des Plaines tax law firm Illinois bicycle safety Illinois DUI attorney federal regulations for LLCs Illinois speeding lawyer Inverness personal injury attorney bicycle dooring accidents Barrington workers compensation attorney DMV car crash bad faith insurance claims Illinois personal injury Illinois collections attorney Schaumburg estate planning attorney Rolling Meadows employment law attorney Rolling Meadows personal injury attorney Home Remodeling Repair Act Chicago traffic lawyer Crystal Lake pet attorney insurance claim dispute Arlington Heights personal injury attorney Palatine employment attorney boating DUI Illinois wills and trusts Inverness insurance attorney consent to a search Barrington employment law attorney Rolling Meadows probate lawyer Crystal Lake medical malpractice lawyer no contest clauses Barrington injury attorney crossover accidents capital gains tax Barrington business law firm Schaumburg real estate lawyer Chicago estate planning Barrington personal injury lawyer traffic laws jet ski accidents construction contracts revenge porn Schaumburg personal injury lawyers Illinois traffic attorneys IRELA Detainer Actions Attorney Ken Apicella Rolling Meadows Traffic Lawyer fault based insurance Illinois red light cameras Des Plaines personal injury attorney Mount Prospect elder law attorney personal injury claims Long Grove estate planning attorney insurance agent negligence Forcible Entry

Archive