Denver's New Anti-Wage Theft Bill is a Victory for the Working Class

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Though under-discussed, wage theft is a very common problem facing Denverites. Council’s research found up to 68 percent of low-wage, metro-area workers suffered at least one pay-related violation in the typical workweek. It is no surprise that wages are most often stolen from disadvantaged communities, predominantly immigrants, women and workers of color. Prior to the passage of this resolution, it was extremely costly in both time and money for workers to pursue stolen wages, often resulting in them just “letting it go.”

Wage theft is no minimal crime. Approximately $728 million is stolen from Colorado workers every year. At the epicenter of Colorado business, this theft greatly impacts not only the workers of Denver but the entire city. Every dollar stolen is not only a resource taken from a worker and their families, but a detriment to our community. As workers are more likely than employers (especially those not located in Denver) to spend their money locally, every dollar stolen is a dollar not spent at local restaurants, coffee shops and grocers. This is to say nothing of the tax implications, as stolen wages deprive Denver of much-needed payroll taxes that fund important social programs.

The Solution But after years of hard work, Denver has a solution. Included in Resolution 22-1614 are commonsense provisions that will protect Denver workers from exploitation. Under the new law, the statute of limitations to file a wage theft grievance has been increased to three years. This is vitally important, as workers don’t always know when wages are stolen from them. It also expands the definition of “worker” to include independent contractors, which protects Uber, DoorDash, Lyft and other freelance employees from the exploitation of the gig economy.

And while these are important facets, the real meat and potatoes of 22-1614 is that it gives workers two avenues to pursue wages that are rightfully theirs, both of which are significant procedural improvements over the clunky and slow previous grievance methods.

The first avenue to restitution is through Denver Labor, a division of the Auditor’s Office. Resolution 22-1614 gives Denver Labor the authority to penalize businesses the total amount of wages withheld, plus an additional 12 percent. It also enables the auditor to punish especially egregious violators with flexible penalties, which can be up to three times stolen wages, job reinstatement and a $25,000 fine. There are also fines for failing to certify payroll, providing false information and retaliating against an employee."

/r/antiwork Thread Link - joewrote.substack.com