What is My Legal Obligation to Pay Employees?

December 2, 2016

What is My Legal Obligation to Pay Employees? What Happens If I Don't Pay Them?

Times are tough for many companies, and when cash is short it is tempting to try to save money by delaying payment to employees or not paying terminated employees. But paying employees is one of your top legal obligations. If you have employees, you must pay them. Attorney Michael Helfand discusses the legal obligations of employers and the repercussions if employees are not paid in a timely manner.

Federal and State Laws About Paying Employees

Employers are legally obligated to pay their employees. Most businesses are affected by both state and federal (Fair Labor Standards Act or FLSA) laws regarding pay. These laws set the minimum wage, explain when employees must be paid, establish which employers must pay overtime and which employees are entitled to overtime, etc.

Read more here: The Balance

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