Back pay owed and Termination

I am an at-will employee of a small consulting firm. All 4 employees agreed to defer our compensation when we were operating in the red. I have about $12,000 in back pay salary owed to me that the CEO has committed (in writing) to pay in a 'reasonable' time frame. I am now about to go through involuntary termination. What does the law say about back pay and termination?

1 answer  |  asked Oct 12, 2005 2:25 PM [EST]  |  applies to Pennsylvania

Answers (1)

Christopher Ezold
You are owed your back pay by the next payday.

Before I respond to your inquiry, I must state that we have not spoken, I have not reviewed the relevant documents and facts, and I do not represent you. Therefore, my discussion below is not a legal opinion, but is informational only. Finally, my discussion applies only to issues to which Pennsylvania or Federal law apply, unless otherwise specified.

That being said, you are owed your back pay by your next payday. Pennsylvania's Wage Payment and Collection Law (WPCL) requires that terminated employees be paid all wages due and owing by their next scheduled payday. In fact, the WPCL specifically disallows employees to 'waive' their right to pay; therefore, your agreement to defer your pay is not actually valid, and your employer was obligated to pay you as you worked.

Failure to pay your wages within 30 days of their due date will subject the employer to a 25% penalty payment to you, as well as require them to pay your reasonable attorneys' fees.

If you would like to discuss this matter further, please feel free to contact me at the below address(es) or number.

/Christopher E. Ezold/
Nancy O'Mara Ezold, P.C.
One Belmont Avenue,
Suite 501
Bala Cynwyd, PA 19004
(610) 660-5585

posted by Christopher Ezold  |  Oct 12, 2005 3:30 PM [EST]

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