Wage Theft Prevention and Wage Recovery Act

Increased Transparency for Workers: Employers must provide initial disclosures regarding pay rates and classification, as well as regular paystubs that include detailed information like total hours worked and itemized deductions (Section 101).

Guaranteed Final Pay: Upon termination, employers are required to provide final payments including all compensation and benefits within a specific timeframe (Section 101).

Right to Full Compensation: The bill establishes a right for employees to receive the full compensation specified in their employment agreements or collective bargaining agreements (Section 102).

Stronger Legal Recourse: The Act increases the statute of limitations for filing claims and provides for higher liquidated damages and interest to help workers recover stolen wages (Section 103, Section 201).

Protection of Rights in Court: The bill prevents employees from being forced to waive their rights to bring legal actions through employment or arbitration agreements (Section 103).

Enhanced Enforcement through Grants: The grant program supports community partnerships and outreach to educate workers about their rights and assist them in filing claims (Section 302).

Increased Penalties for Employers: The bill introduces significant civil fines for violations of wage requirements, which can reach up to $250,150 for repeated or willful violations (Section 103).

Criminal Liability: Employers who willfully falsify records or violate certain wage provisions may be referred to the Department of Justice for prosecution (Section 103).

Strict Recordkeeping Mandates: Employers are required to provide copies of payroll records upon request within 21 days, and failure to maintain complete records can lead to a legal presumption that the employee's claims are accurate (Section 104).