What is my recourse if my employer has violated the minimum wage law?

I resigned due to health reasons 10 months ago. A month prior to that, I took out a payday deduction for $500. I went on the assumption that this loan was handled and paid off before I resigned. I returned to work only as a substitute worker making only $10 per hour versus $15 per hour when I was working on a permanent basis. My last 2 paychecks had $176 deducted from them and I wasn’t notified the first time this was done. Those deductions made my take home pay below minimum wage and I notified my state’s labor and wage division and they are pursuing it.

Can I further take my employer to small claims court for damages?

Asked on March 15, 2019 under Employment Labor Law, South Dakota

Answers:

SJZ, Member, New York Bar / FreeAdvice Contributing Attorney

Answered 1 year ago | Contributor

A lawsuit would not be a cost effective or time effective (i.e. in terms of your time and effort option, since the compensation you can recover is closely related to the loss you suffered. $10/hour is above your state's current minium wage (and well above federal minium wage), so your only loss which would be cognizable in a lawsuit would be the improper $176 deduction.


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