Too many companies unlawfully underpay because of rational (but immoral) business decisions. These companies determine that it is profitable to break the law because,
(1) if they get away with it they pocket the money they were legally required to pay their employees or
2) if they get caught, they will only have to pay back the money they would have paid if they had originally followed the law.
To combat this unlawful activity, in 2008 Massachusetts amended the state’s Wage Act to require employers who break the law to pay treble damages (meaning three times the amount they unlawfully withheld from employees). Starbucks recently argued that it would be unconstitutional for them to pay treble damages and that Starbucks’ “punishment” for under-paying its baristas should simply be to pay what it should have paid in the first place. In a resounding victory for workers, the First Circuit Court of Appeals recently rejected Starbucks’ arguments.
There is no longer any doubt: In Massachusetts, employees who underpay their workers may be forced to pay three times the amount of under-payment. AWe are proud to represent workers who are paid below the minimum wage. If you believe your wage and hour rights have been violated, please contact us to discuss your legal options.