North Carolina Labor Commissioner Luke Farley says complaints about unpaid wages are increasing across the state, with his department recovering a record $3.7 million for workers last year, including nearly $14,000 in Craven County.
Farley discussed the issue with Public Radio East on Tuesday while visiting New Bern for a meeting of the North Carolina Council of State at Tryon Palace. The meeting was held outside Raleigh as part of a historic tour commemorating America's 250th anniversary.
Farley said the department is seeing more complaints from workers who haven't received the wages their employers promised.
"We've seen complaints go up. Last year we had a record year for wage recovery, $3.7 million," Farley said.
The recovered money represents wages owed to employees, rather than fines collected from employers.
Farley said complaints are especially common in industries where workers are paid by the hour.
"In terms of where we've seen the most complaints, it's in places like retail and restaurants and places where people are usually paid on an hourly basis," he said.
North Carolina operates under what's known as a promised wage standard, which requires employers to pay workers the compensation they've agreed to provide.
"North Carolina law protects your right as an employee to be paid whatever it is you've been promised," Farley said. "That is the law we enforce. We operate on a promised wage standard."
That means employers generally must honor agreed-upon wages, even when those wages exceed the state's minimum wage requirements. The law can also apply to promised commissions, bonuses and other forms of compensation, subject to applicable employment agreements and state regulations.
For example, if an employer agrees to pay a worker $18 an hour but pays only $15, the employee may be entitled to recover the difference, even though the amount actually paid exceeds the minimum wage.
North Carolina's Wage and Hour Act also establishes requirements for when employees must be paid and how employers communicate wage rates and changes in compensation.
The North Carolina Department of Labor's Wage and Hour Bureau investigates complaints involving unpaid wages, final paychecks, illegal deductions and other potential violations of state wage laws.
The nearly $14,000 recovered in Craven County represents money returned to workers who had not received compensation owed to them.
Workers who believe they have not been paid correctly can file a complaint with the North Carolina Department of Labor. The department investigates wage claims and can pursue recovery of money owed under state law.
Farley said the best way to report wage theft is by calling the NCDOL Wage and Hour Bureau at 1-800-625-2267 (1-800-NC-LABOR).
