Company Owner Liable Unpaid Wages

If the company does not pay my wages, is the owner responsible?

The failure to pay minimum wages or overtime wages often means that the individual owners of the company are liable.  The overwhelming weight of authority is that corporate officers and/or owners are employers under the FLSA when they engage in some operational control over the corporate employer. Ruffin v. New Destination, 800 F.Supp.2d 262, 269 (D.D.C. 2011) (citations omitted; see also Lamonica v. Safe Hurricane Shutters, Inc., 711F.3d 1299, 1310 (11th Cir. 2013) (same); Perez v. Sanford-Orlando Kennel Club, Inc, 515 F.3d 1150, 1160 (11th Cir. 2008) (same); Lambert v. Ackerley, 180 F.3d 997, 1012 (9th Cir. 1999) (same); Dole v. Elliott Travel & Tours, Inc., 942 F.2d 962, 965-66 (6th Cir. 1991) (same); Donovan v. Sabine Irrigation, Co., 695 F.2d 190, 194 (5th Cir. 1983) (same); Donovan v. Agnew, 712 F.2d 1509, 1511 (1st Cir. 1983) (same); Ross v. Wolf Fire Protection, Inc., 799 F.Supp.2d 518, 525 n. 11 (D. Md. 2011) (same).

This means that if your boss owns the company you work for, he or she could be individually liable for unpaid minimum or unpaid overtime wages.  Your boss cannot hide behind a company to avoid paying what you are owed.

Posted in Employment Law
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