A new report found dishonest employers steal from some 213,000 people in Ohio each year by paying them less than the minimum wage; and it is just one type of wage theft.
According to the analysis from Policy Matters Ohio, other forms of wage theft include nonpayment for all hours worked, not paying time and a half for hours worked overtime, and misclassifying workers as nonsalaried to avoid overtime pay.
Ernest Hatton of Cleveland said he experienced wage theft at a time when he was working a security job for nearly 60 hours a week.
"My supervisor asked me if I would mind if they would take away eight hours in exchange for a vacation day because payroll couldn't handle the amount of money that they claimed I was going to make, so they needed to offset that," Hatton recounted. "I didn't know that was illegal."
Among wage theft victims in Ohio, 8% of victims of wage theft in Ohio earn $11.44 per hour or less. The average victim loses $55 per week, which equals about a quarter of their pay, based on the minimum wage, which amounts to more than $2,800 a year on average.
The report found Hispanic people are 71% more likely to become victims than their white counterparts.
Ghandi Merida of Cincinnati, a wage theft victim from Mexico, believes an employer who stole wages from him intentionally recruited Hispanic workers.
"And they promise, like, $30 or $27 when he only pays $20 and $22," Merida asserted. "He just wants to take a lot of advantage of Hispanic workers because (they) cannot speak English, and they cannot say anything, so you can't speak up for yourself."
Sen. Sherrod Brown, D-Ohio, introduced the Wage Theft Prevention and Wage Recovery Act, which he said will crack down on wage-theft practices and empower Ohioans to fight back.
"So many workers never report these violations," Brown noted. "Why? Because they're afraid of retaliation. I mean, who holds the power here? These are rarely union shops, so companies hold the power. "
At the state level, the report calls for requiring employers to provide pay stubs, so workers are better informed of wages; beef up wage and hour enforcement; and recognize informally classified workers as employees who can be protected by labor laws.
Reporting by Ohio News Connection in association with Media in the Public Interest and funded in part by the George Gund Foundation.
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Workers at a hospital on the Oregon coast are citing a victory in contract negotiations with their employer.
More than 100 members of SEIU Local 49 at Samaritan North Lincoln Hospital in Lincoln City will receive raises averaging 10% over the first year of their new contract. Brittany King, a CT special imaging technologist at the hospital, said many workers have been struggling to afford living in the community, and this raise makes the hospital's wages competitive with the local job market.
"There are a lot of members," she said, "that told me specifically that, 'I think this is a wage that I can live with, that means I don't have to leave Samaritan.'"
King said workers have dealt with a number of tragedies in recent years, including the pandemic and 2020 wildfires. Their new contract also expands education funding.
Rachel Eggleton, a certified nursing assistant at the hospital, said workers rallied over Memorial Day weekend when contract negotiations stalled and the community members showed their support.
"Once they saw us out in the rain rallying," she said, "they realized, 'OK, maybe there's something wrong. Maybe we need to help out our health-care workers, because they've been there through thick and thin for the entire pandemic, regardless of whatever's happening.' We still provided the care that they needed."
Eggleton said this support has been key.
"Getting everybody involved and getting the community involved," she said, "it will always bring us better things."
Disclosure: SEIU Local 49 contributes to our fund for reporting on Livable Wages/Working Families, Social Justice. If you would like to help support news in the public interest,
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A new Minnesota law, which goes into effect Sunday, removes requirements restricting Social Security recipients from receiving full jobless benefits as well.
Bill sponsors noted Minnesota was the last state to have the offset requirement. It reduced by 50% unemployment aid for laid-off workers who, within the first year, either received or started to apply for Social Security.
Kate Schaefers, volunteer state president of AARP Minnesota, said it had a profound effect on older workers as the pandemic began to take shape. She pointed to testimony from a Rochester man who had worked part-time in retail and lost his job but had no unemployment benefits to supplement his income.
"He told us that he cut back on expenses, including his medication, because he couldn't afford them living just off of his Social Security check," Schaefers recounted.
Schaefers pointed out they are disappointed the changes are not retroactive, leaving out many residents devastated by the crisis. But she noted supporters secured a compromise with the Senate by starting the repeal date this year, as opposed to waiting longer to appease concerns about the unemployment fund's balance.
Schaefers said looking ahead, the repeal will be beneficial to the growing number of older adults who cannot afford to solely rely on their pension in the face of rising consumer costs.
"This is a key part of their retirement ... continued work," Schaefers explained. "This is going to benefit them if they get laid off; that they can access those unemployment benefits."
The group estimated 16% of Minnesotans 62 and older receiving Social Security are still in the labor force. It added the benefits are modest, averaging nearly $1,600 a month in Minnesota.
Disclosure: AARP Minnesota contributes to our fund for reporting on Budget Policy and Priorities, Consumer Issues, Health Issues, and Senior Issues. If you would like to help support news in the public interest,
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The so-called "great resignation" isn't playing out for all workers. A new survey covering North Dakota and Minnesota shows people on the lower end of the income scale face obstacles in jumping to other job opportunities.
The Minneapolis Federal Reserve Bank, along with Community Action agencies in both states, heard from more than 200 individuals, mainly working in social services, education and health care. Most expressed a desire to move up the career ladder, but said they lack the resources to learn new skills, or that expenses such as child care get in the way.
Erick Garcia Luna, regional outreach director at the Minneapolis Fed, said it becomes more pronounced for people earning very little in their current job.
"If a family is making minimum wage," he said, "they're going to have a harder time taking the time, for example, to get trained for another job."
Nearly 60% of respondents making between $10,000 and $25,000 dollars a year said it's either "somewhat or very difficult" to make an occupational change. Community Action Partnership of North Dakota said the survey also revealed these individuals are finding it harder to meet basic needs amid rising inflation, but also can't afford to pursue a better-paying job.
Ashley Littlewolf, workforce development case manager lead at the Southeastern North Dakota Community Action Agency, said she sees a lot of overlap with these barriers.
"They're feeding each other, the barriers are increasing each other," she said. "That need for new skills, and then finding the day care - and also, the jobs not paying enough."
While some employers are offering better pay, Littlewolf said the findings should prompt more action to boost starting wages. She said expanding the hiring pool can help, too.
"Taking a chance on someone who may not have that experience," she said, "but offering on-site training, offering the opportunity for them to enter that career path without the experience or education."
Disclosure: Community Action Partnership of North Dakota contributes to our fund for reporting on Community Issues and Volunteering, Health Issues, Hunger/Food/Nutrition, Poverty Issues. If you would like to help support news in the public interest,
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