By Ashwin Madia, Attorney, on August 10, 2012
Posted in Lost Wages - Back and Front Pay Damages, Madia Law News, Minnesota Fair Labor Standards Act (MFLSA), Minnesota Payment of Wages Act (PWA), Minnesota State District Court, ticker
Madia Law represented “Laura” – a physician’s assistant who was hired by a medical clinic that found Laura through a recruiting agency. After hiring Laura, the clinic began making deductions from her checks to cover the “recruitment fee” that it paid the agency to find Laura. In total, the clinic deducted close to $30,000 from Laura’s wages to recover its recruitment costs.
The Minnesota Payment of Wages Act absolutely prohibits deductions by employers from the wages of employees without prior written authorization from the employees. Additionally, the Minnesota Fair Labor Standards Act prohibits wage deductions by employers if such deductions would drop an employee below minimum wage.
To its credit, Laura’s clinic did the right thing and quickly settled the case.
Please note that every case is different, with its own unique facts. Just because Laura obtained a settlement in her case doesn’t mean that you will obtain the same result in your case. Please contact Madia Law to discuss your wage deduction case in detail and get an accurate assessment of is value.