In an update to a story we previously brought you on our blog, a Minnesota man has officially become the first person to be sentenced under the state’s enhanced wage theft law.
Frederick Leon Newell, 59, was sentenced on June 6 after being convicted of one count of wage theft and one court of theft by swindle. According to the court case, five employees were underpaid a total of at least $37,000 for painting and cleaning labor stemming from work provided by Integrated Painting Solutions, which Newell owns.
“Mr. Newell was entrusted with public funds to pay his employees for their labor on a public works project,” said Hennepin County Attorney Mary Moriarty in a statement. “Instead, he siphoned the money they earned for himself.”
Mr. Newell was sentenced to:
- Three years of probation
- Ordered to pay $42,000 in restitution
- Complete 200 hours of community service
- Forbidden from bidding on new public contracts
Understanding Wage Theft In Minnesota
Wage theft can take many different forms, and oftentimes employees may not even be aware that a company is illegally keeping money from them. While not paying employees for hours that have been worked is the most obvious type of wage theft, other forms of wage theft include:
- Paying less than minimum wage
- Not paying time-and-a-half for overtime hours
- Failing to pay out earned tips appropriately
- Reducing hours worked for legal breaks or short rest periods
- Requiring work to be completed “off the clock”
- Misclassifying employees as independent contractors
- Illegal paycheck deductions (like if a tool broke during use, and you were charged for its replacement)
If you believe that any of these situations apply to you, it’s imperative that you connect with a workers’ compensation and wage loss specialist like the team at Hey Workers. Wage theft is a billion dollar problem here in the US, and even if the oversight is unintentional by management, you have legal recourse to get the compensation you are owed.
Even if you’re not sure if you have legal grounds for a wage theft case, it’s worthwhile to connect with a law firm to discuss your case and learn about your options. We offer these free consultations so that clients can stay educated about their rights and find an ally in the event they want to move forward with a claim.
So while Mr. Newell was the first to be sentenced under the new wage theft law, he certainly won’t be the last, and if you need help moving forward with a wage theft claim of your own, connect with the team at Hey Workers today at (844) 439-9675.
