"How damning is wage theft?" 

The Struggle of American Workers: Wage Theft and Low Pay

For the past forty years, American workers have had a tough time. Many workers' pay has stayed the same or even gone down, making it hard to live a middle-class life. One big problem is wage theft, where employers don't pay workers all the money they have earned.

What is Wage Theft?

Wage theft happens when employers:

• Pay less than the minimum wage

• Don't pay for all hours worked

• Don't pay overtime

This affects millions of workers every year, taking away billions of dollars. It pushes many families into poverty and makes them rely more on public help.

Key Findings

A study looked at wage theft in the ten most populated states: California, Florida, Georgia, Illinois, Michigan, New York, North Carolina, Ohio, Pennsylvania, and Texas. These are the main findings:

• Widespread Issue: Each year, 2.4 million workers in these states are paid less than the minimum wage. This is about 17% of low-wage workers.

• Big Losses: These workers lose over $8 billion every year. If this is true for the whole country, workers could be losing more than $15 billion each year.

• Individual Impact: On average, workers lose $64 per week, which adds up to $3,300 per year.

• Who is Affected: Young workers, women, people of color, and immigrants are more likely to face wage theft. However, most victims are over 25, native-born, white, and have families.

• State Differences: Florida, Ohio, and New York have the highest rates of wage theft. Pennsylvania and Texas have the worst cases, with workers losing over 30% of their pay.

• Poverty Rates: More than 21% of workers paid below the minimum wage live in poverty. If they were paid correctly, this would drop to less than 15%.

Why Wage Theft Matters

Wage theft is a big problem, costing more than property crimes like robbery and theft. It also means less tax money and more people needing public help.

Solutions

Stronger laws and better enforcement can help stop wage theft. Lawmakers need to make sure all workers are paid what they earn. Stopping wage theft would not only help workers but also improve the economy.

In summary, wage theft is a serious issue that affects millions of workers. With the right actions, we can protect workers and create a fairer economy.