Colorado residents may be interested in an employment case taking place in another state involving unpaid wages. The wage and hour claim involves eight car wash workers who were owed approximately $262,000 from their former employer due to wage violations and fines. The car wash is apparently now out of business, and unfortunately for the workers, their former employer recently filed for bankruptcy.
Reports stated that the workers had gone to court in hopes of being paid the compensation they are owed, but before the judge could hand out a ruling, the bankruptcy petition was filed. One worker in particular was owed approximately $77,000. He stated that he and the other workers barely had enough money to support their families. It was noted that before the filing, the employer had offered to settle with $25,000, but the offer was rejected.
Because the bankruptcy filing means that the employer’s other creditors will likely be paid first, the workers feel less confident that they will see the compensation they are owed. It was noted that the employer believes that he does not owe the workers because many of them did not work overtime and made fraudulent wage claims. His legal representation stated that if the workers have “legitimate” claims, they will be paid through the Bankruptcy Court filing.
Any time a worker is not properly compensated, struggles could arise. This situation is obviously complicated and disheartening for the cheated workers, but they may still be able to gain the wages they are owed. If Colorado workers believe that they have faced similar circumstances in which they were not properly compensated for their services, they may wish to look into wage and hour claim information to determine whether taking legal action could suit their situations.
Source: Chicago Tribune, “Car wash workers hosed as wage-cheating owner declares bankruptcy“, Kim Janssen, May 19, 2016