Workplace Justice
10/13/2025
16 min read
155 views

Wage Theft: How to File DOL Complaint and Recover Unpaid Wages (2025)

File free DOL complaint for unpaid wages. 2-3 year lookback period. $274M recovered in 2023. Step-by-step process with complaint templates and state resources.

C

By Compens.ai Collective Intelligence

Insurance Claims Expert

Wage Theft: How to File DOL Complaint and Recover Unpaid Wages (2025)

Free filing. 2-3 year lookback period. $274M recovered by DOL in 2023.

⚡ Quick Answer

Where to File: DOL WHD Complaint (online), call 1-866-487-9243, or state labor department Cost: FREE - No filing fees, no lawyer required Lookback Period: 2-3 years depending on violation type (3 years if willful) What You Can Recover: Back pay + liquidated damages (double pay) + attorney fees Success Stats: $274M recovered for 163,000 workers in 2023

---

What Is Wage Theft?

Wage theft occurs when employers fail to pay workers what they're legally owed:

  • Unpaid overtime - Not paying time-and-a-half after 40 hours/week
  • Minimum wage violations - Paying below federal/state minimum wage
  • Off-the-clock work - Requiring work before clocking in or after clocking out
  • Stolen tips - Taking employee tips or improper tip pooling
  • Misclassification - Calling employees "independent contractors" to avoid paying benefits
  • Unpaid breaks - Not paying for short breaks under 20 minutes
  • Final paycheck delays - Not paying wages owed after termination

---

DOL Wage and Hour Division: 2023 Success

  • $274M recovered for workers
  • 163,000 workers helped
  • 19,700 investigations conducted
  • $7.1M in civil penalties assessed

Source: U.S. Department of Labor Wage and Hour Division FY2023

---

Am I Eligible to File a Wage Claim?

You worked for the employer - Employee or misclassified independent contractor ✓ You were not paid properly - Unpaid wages, overtime, or minimum wage violations ✓ Within 2-3 years - Violations occurred within lookback period (3 years if willful) ✓ Covered by FLSA - Most employees covered by Fair Labor Standards Act

Covered Workers:
  • Private sector employees (most)
  • Federal, state, local government employees
  • Domestic workers (housekeepers, nannies)
  • Agricultural workers
  • Tipped workers

Common Exemptions: Executive, administrative, professional employees earning $35,568+ annually (but many misclassified - let DOL determine)

---

5-Step DOL Complaint Process

Step 1: Calculate What You're Owed

Overtime Calculation:
  • Regular time-and-a-half rate = (Hourly rate × 1.5)
  • Owed for all hours over 40 in a workweek
  • Example: $15/hour × 1.5 = $22.50/hour overtime rate
Minimum Wage: Unpaid Regular Wages:
  • Hours worked × hourly rate
  • Include off-the-clock work, required meetings, training
Keep Records:
  • Timesheets, pay stubs, time clock records
  • Text messages, emails about work hours
  • Your own time tracking records
  • Copies of company policies

Step 2: File Complaint with DOL or State Agency

Three Ways to File:

What You'll Need:
  • Your contact information
  • Employer name, address, phone
  • Your job title and duties
  • Pay rate and work schedule
  • Description of violation (unpaid hours, denied overtime, etc.)
  • Dates of violations
  • Any evidence you have

Pro Tip: File with BOTH federal DOL and your state labor department. State agencies often have stronger protections and faster processes.

Step 3: DOL Investigates Your Claim

Investigation Process:
  • WHD investigator reviews your complaint
  • They contact employer and request records
  • Employer must provide payroll records, timesheets, policies
  • Investigator interviews you and potentially coworkers
  • Typically takes 60-90 days
Your Rights During Investigation:
  • Employer cannot retaliate against you for filing
  • Retaliation itself is a violation (can file additional complaint)
  • You can remain anonymous in some cases
  • DOL handles everything - you don't need lawyer

Step 4: DOL Determines Violations and Calculates Back Pay

If Violations Found:
  • DOL calculates exactly how much employer owes you
  • Includes back pay for all violations
  • May include liquidated damages (double the back pay)
  • May assess civil penalties against employer
Possible Outcomes:
  • Settlement: Employer agrees to pay what's owed
  • DOL Order: DOL orders employer to pay
  • Litigation: DOL sues employer on your behalf (if employer refuses)

Step 5: Recover Your Wages

How You Get Paid:
  • Employer pays DOL directly
  • DOL distributes to affected workers
  • Usually within 30-60 days of settlement/order
  • If employer refuses, DOL can sue and get court judgment
Additional Remedies:
  • Liquidated Damages: Equal to back pay owed (essentially double pay)
  • Civil Penalties: DOL can fine employer ($1,000+ per violation)
  • Reinstatement: If you were fired in retaliation
  • Attorney Fees: If you hire lawyer and win

---

State Labor Department vs. Federal DOL: Which to Choose?

File with BOTH for Best Results

Federal DOL (Wage and Hour Division):
  • Enforces Fair Labor Standards Act (FLSA)
  • Covers most workers nationwide
  • Can investigate going back 2-3 years
  • Free investigation and enforcement
  • Can sue employer on your behalf
State Labor Departments:
  • Often have stronger protections than federal
  • May have higher minimum wage
  • May have better overtime rules
  • Faster resolution in some states
  • Can pursue criminal charges in some states
States with Strong Wage Theft Laws:
  • California, New York, Massachusetts, Illinois, Washington

---

Common Wage Theft Violations & How Much You Can Recover

Unpaid Overtime

Violation: Not paying time-and-a-half after 40 hours/week

Example Recovery:
  • You worked 50 hours/week at $15/hour for 2 years
  • 10 hours overtime/week × 52 weeks × 2 years = 1,040 hours
  • Overtime rate: $15 × 1.5 = $22.50/hour
  • You were paid regular rate: $15/hour
  • You're owed difference: $7.50/hour × 1,040 hours = $7,800
  • With liquidated damages (double): $15,600 total

Minimum Wage Violations

Violation: Paying below federal/state minimum wage

Example Recovery:
  • State minimum wage: $12/hour
  • You were paid: $8/hour
  • Difference: $4/hour
  • You worked 40 hours/week for 1 year: 2,080 hours
  • Back pay: $4/hour × 2,080 hours = $8,320
  • With liquidated damages: $16,640 total

Off-the-Clock Work

Violation: Required to work before/after clocked hours without pay

Example Recovery:
  • 30 minutes unpaid work daily (opening/closing tasks)
  • 0.5 hours × 5 days/week × 52 weeks × 2 years = 260 hours
  • At $15/hour: $3,900 back pay
  • With liquidated damages: $7,800 total

Stolen Tips

Violation: Employer taking employee tips or forcing illegal tip sharing

Example Recovery:
  • Manager took $50/week from your tips
  • $50/week × 52 weeks × 2 years = $5,200
  • With liquidated damages: $10,400 total

---

Wage Theft Complaint Template

 U.S. Department of Labor Wage and Hour Division [Local Office Address]

RE: Wage Theft Complaint Employee: [Your Name] Employer: [Company Name]

Dear Wage and Hour Division,

I am filing a complaint regarding wage violations by my employer, [Company Name], located at [Address].

EMPLOYMENT DETAILS:
  • Position: [Your Job Title]
  • Employment Period: [Start Date] to [End Date or "Present"]
  • Pay Rate: $[X]/hour
  • Typical Schedule: [X] hours per week

VIOLATIONS:

  • UNPAID OVERTIME
I regularly worked over 40 hours per week but was not paid time-and-a-half for overtime hours as required by FLSA. Example weeks:
  • Week of [Date]: Worked 50 hours, paid for 50 hours at regular rate (should have been paid 40 regular + 10 overtime)
  • Week of [Date]: Worked 48 hours, paid for 48 hours at regular rate (should have been paid 40 regular + 8 overtime)

This pattern occurred for approximately [X] months/years.

  • [OTHER VIOLATIONS IF APPLICABLE]
EVIDENCE:
  • Attached: [List any pay stubs, timesheets, text messages, etc.]
  • Witnesses: [Names of coworkers who can confirm, if any]

I request that WHD investigate this matter and help me recover unpaid wages owed.

I am available at [Phone] or [Email] to discuss this complaint.

Sincerely, [Your Name] [Your Address] [Date]

Enclosures: [List attachments]

---

What If I Don't Have Records?

Don't let lack of records stop you from filing!

DOL can get records from employer:
  • Employers are required by law to keep payroll records
  • WHD can subpoena timesheets, pay stubs, work schedules
  • Your testimony about hours worked is evidence
What You Can Do:
  • Recreate your own time records from memory
  • Check bank deposits for payment amounts/dates
  • Get coworker statements
  • Find text messages, emails about work hours
  • Calendar entries showing work schedule

---

7 Common Mistakes to Avoid

1️⃣ Waiting Too Long to File - 2-3 year lookback means you lose older wages

2️⃣ Not Filing Because You Lack Evidence - File anyway, DOL can get records from employer

3️⃣ Only Filing with DOL (Not State) - File with both for maximum protection

4️⃣ Accepting Employer's "Exempt Employee" Classification - Let DOL determine if you're truly exempt

5️⃣ Not Reporting Retaliation - If employer retaliates, file additional complaint immediately

6️⃣ Signing Away Your Rights - Severance agreements waiving wage claims may not be enforceable

7️⃣ Giving Up After One Attempt - If DOL declines to investigate, file with state or hire attorney

---

Real Wage Theft Recovery Cases

$5.3M Settlement - Construction Company (2023) DOL found company paid straight time instead of overtime to 1,200 workers. Workers recovered $5.3M in back wages plus equal liquidated damages.

$1.8M Recovery - Restaurant Chain (2023) Managers illegally took portion of employee tips. 850 workers recovered back pay plus liquidated damages.

$450K Settlement - Healthcare Staffing (2024) Nurses misclassified as independent contractors to avoid overtime pay. 120 workers recovered unpaid overtime.

---

State Wage Theft Resources

California: California Labor Commissioner Strong protections, waiting time penalties, can pursue criminal charges

New York: NY Department of Labor Treble damages (3x back pay) possible, 6-year lookback

Texas: Texas Workforce Commission Covers most wage claims, free filing

Florida: No state wage law - file with federal DOL

Illinois: Illinois Department of Labor 5-year lookback, 2% monthly interest on unpaid wages

---

Frequently Asked Questions

How long do I have to file? 2 years for most violations, 3 years if employer willfully violated the law. File as soon as possible to avoid losing wages.

Will I get fired if I file? Retaliation is illegal. If employer fires or retaliates, file additional retaliation complaint. Many workers file after leaving job to avoid confrontation.

Do I need a lawyer? No. DOL investigates for free. However, if DOL declines or you want to sue directly, hiring employment attorney may get you more money (including attorney fees paid by employer).

What if my employer says I'm "exempt"? Many employers misclassify employees as exempt to avoid overtime. DOL will determine if you're truly exempt based on your actual duties, not just your title.

Can I file if I'm undocumented? Yes. FLSA protects all workers regardless of immigration status. DOL does not share your info with immigration authorities.

How long does it take? 60-90 days for DOL investigation typically. Settlement/payment can take additional 30-60 days.

---

Don't Let Employers Steal Your Wages

$274M recovered in 2023. 2-3 year lookback. Free filing. No lawyer needed.

File DOL Complaint: dol.gov/agencies/whd/contact/complaints Call: 1-866-487-9243

Free investigation • Back pay + double damages • Employer cannot retaliate

Fight Unfairness with AI-Powered Support

Join thousands who've found justice through our global fairness platform. Submit your case for free.