With all the talk of missing final paychecks, can a company retaliate after honestly completing an exit interview and withhold your final pay?

Anonymous

February 16,2024 at 3:12PM UTC

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With all the talk of missing final paychecks, can a company retaliate after honestly completing an exit interview and withhold your final pay? I was told the dates I would receive funds before my exit interview. As of date, I haven't received anything from the employer and it was set up as direct deposit.

I reached out a few times to inquire and there's radio silence. I was counting on that money to pay bills this month. I was honest during my exit interview regarding the problems I experienced and I can tell they weren't happy about what I said.

While the money is needed, a lawyer while I'm not working isn't an option. Has anyone else experienced this and if this is why they are pulling this... I've learned not to be so honest in my exiting in the future!

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AnonymousFebruary 16,2024 at 3:43PM UTC
This may vary based on the state where you live, but the following is my experience:
The only legitimate reason they can withhold a final paycheck is if there is some equipment, documents, or keys you haven't returned. They must have a signed receipt and an agreement or acknowledged policy that the last paycheck can be withheld until they are returned.
With that said, if you are disputing any final payout on PTO or any other benefit, this could also delay the final paycheck.
If none of this applies, you can always file a complaint of wage theft with the Department of Labor, which doesn't usually require an attorney, but can be expedited with one. Sometimes all it takes is a call from the DOL to light a fire.
AnonymousFebruary 16,2024 at 5:28PM UTC
I agree. The employer is hoping you'll walk. Show them different!!!
AnonymousFebruary 16,2024 at 6:08PM UTC
They cannot withhold pay for items not returned. Wage claims are irrespective of that.
AnonymousFebruary 16,2024 at 6:07PM UTC
Contact the DOL and make a wage claim, the company per your state rules is required to pay you within a certain time frame of your exit and may be subject to daily fines and interest if they do not. They also have to pay your expenses owed and for any vacation pay. Write a letter to the CEO/Head of Legal and let them know that you expect to be paid per the law and if you are not you will file a claim. Be firm and give them a deadline per the law inclusive of the interest and fines they likely already owe you.
AnonymousFebruary 16,2024 at 6:45PM UTC
They can't withhold money owed to you and many states have very specific rules around final pay.
AnonymousFebruary 16,2024 at 8:57PM UTC
You may be able to find an employment attorney who will work on contingency after hearing your situation. Also check with any LegalAid societies in your area, should be able to Google based on where you live. They can often help you find an attorney who will work on contingent or pro-bono. Sometimes all you need is for them to send your employer a letter threatening legal action which some may do for free or a very small fee.
JJFebruary 17,2024 at 1:08AM UTC
Report them to the state labor board which should be free.
Carol23February 17,2024 at 1:10PM UTC
(Reporting to the labor board IS FREE! And in this case, no lawyer is needed.)
Kris WolframFebruary 17,2024 at 1:27AM UTC
How long has it been? In some states final pay can be paid on the next scheduled pay date so if you are paid monthly or bi monthly you may need to see if that is the reason.
Carol23February 17,2024 at 1:09PM UTC
Call the department of labor immediately and file a claim for WAGE THEFT. It may take a while, it took me seven months to get paid. In my state, you are supposed to be paid the DAY you get let go, not a week later.
AnonymousFebruary 17,2024 at 1:40PM UTC
If you aren't receiving your final check, call your state's department of labor and raise a complaint. They'll get it for you. Your tax dollars at work!
AnonymousFebruary 17,2024 at 4:30PM UTC
This is illegal. My understanding is even if you don’t complete an exit memo, a company cannot legally withhold a final paycheck.
I’d advise putting everything in writing in email or in a formal letter to HR with the CEO CC’d citing the state statute. It may be worth paying an attorney an hourly feel to write a letter to the company-you could reach out to legal aid, or contact an employment attorney and ask if a junior associate could draft something. This could only be $200, and you might be able to do this on contingency
GirlBossanova934974February 18,2024 at 2:19PM UTC
As many have already pointed out, you need to call your State Department of Labor. NO need to waste time or money with lawyers. Some states impose penalties on companies that fail to pay within a few days like the State of California. That all being said, a wise course of action would be to email your former HR Department and tell them you are in the process of filing a WAGE CLAIM with the State Department of Labor. As an employer, you don't need this kind of trouble. I am not sure the delay in your payment has anything to do with your exit interview. It could be that someone in HR has already sent over the paperwork to Accounting and Accounting is taking its time. When I received my final check from last job, they sent out a large $$ amount check in the mail in 48 hours but didn't bother to require a signature. FEDEX dumped it on my mailbox in plain sight. The company management showed me for the Upteenth time they were bunch of cheapskates except when it came to themselves.
Colleen HansonFebruary 18,2024 at 3:08PM UTC
Most definitely contact your state labor relations board and file a claim for lost wages/wage theft. At the same time I would also contact an employment attorney just as a back up. The state I live in drug their feet for months when it came to one of my former co-workers not getting her final pay. After 4 months of unable to get paid (my state requires that ALL wages be paid in full no later than the first payday after separation). She finally had to contact an employment attorney, who in turn called the state to find out why they weren't enforcing the law. It was crazy! However, after that call from the attorney to the state she received everything that was owed to her within a week. Just a shame that our tax dollars don't guarantee reliable service from our state agencies.
Good luck!
AnonymousFebruary 23,2024 at 4:51PM UTC
They may be withholding within the parameters of a Wage Deduction Authorization you may have signed at the time of your hire - of course there are limitations of that when taking into account specific state and federal laws. They should have disclosed any withholdings to you prior to your last day - the most common I see is advancements of PTO that you have yet to accrue as of the time of your last day of employment. But they are still required to pay you a minimum amount. It's something to consider, but as the other commenters stated- contact your labor relations board.
Diane Frances Lesley-NeumanMarch 6,2024 at 3:36PM UTC
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