Magaziner Announces Bill to Crack Down on Wage Theft

WASHINGTON, D.C. — Today, U.S. Representative Seth Magaziner (RI-02), Vice-Chair of the Congressional Labor Caucus, held a press conference to announce the introduction of his bill, the Don’t Stand for Taking Employed Americans’ Livings (Don’t STEAL) Act, which would make wage theft a felony nationwide.

Every day, workers across the country are cheated out of the pay they’ve earned by employers who fail to pay the contracted wage, steal tips, deny overtime, or otherwise skim from employee pay. Wage theft costs American workers at least $50 billion per year. That is far more than the value of all robberies, burglaries, and motor vehicle thefts combined. 

 Current federal laws on wage theft give bad actors a weak match token punishment for stealing their employees’ wages, and don’t adequately serve as a deterrent. The Don’t STEAL Act updates the penalties for wage theft violations to be commensurate with other forms of criminal theft under federal law:

• Under this legislation, employers who willfully fail to pay their employees the wages they are owed, fail to compensate their employees for overtime work, or steal tips will face a misdemeanor or felony, depending on the severity of the crime. Under current law, employers who commit wage theft at most face a misdemeanor. 
• These changes will bring the penalties for wage theft to parity with other common forms of theft under federal law. Under current law, an employer who commits wilful wage theft can be criminally fined no more than $10,000, but this bill would remove that cap and require bad actor employers to be fined in proportion to wages stolen. 

“Here’s a simple idea: If you put in an honest day’s work, you deserve a fair and livable wage, yet so many workers are robbed of the pay they’ve worked hard for by employers who illegally steal from their employees,” said Rep. Seth Magaziner (RI-02). “This is wrong and it needs to change. I’m proud to introduce the Don’t STEAL Act to help ensure American workers receive the pay they have earned and deserve.”

“When people imagine theft, they typically picture robbers in masks breaking into homes, businesses and stealing vehicles,” Congressman Mark Pocan said. “But more money is stolen from wages than all other thefts combined. If you work for an hour you should be paid for an hour – it’s just that simple. I’m honored to sponsor this important piece of legislation.” 

"Wage theft is a serious crime, and it's about time we treated it like other forms of criminal theft. As a young man, I fell victim to wage theft and understand just how burdensome it is on folks struggling to provide for their families," said Congressman Donald Norcross. "I’m proud to join Rep. Magaziner in introducing the Don’t STEAL Act to deter businesses from committing this crime and protect American workers."

“Rep. Magaziner's 'Don’t STEAL' Act is a significant step forward in the fight against wage theft. Sadly, it is the lowest-paid and immigrant workers who are often the victims of this crime perpetrated by unscrupulous bosses. Willfully stealing a worker's wages should be treated like other kinds of theft around the country -- as severe as a felony. By establishing stronger penalties, this legislation aims to deter the worst lawbreaking and end unfair competition between businesses that cheat and those that do the right thing. We fully support this measure to advance justice in the workplace,” said Jody Calemine, Director of Advocacy, AFL-CIO.

“This common-sense legislation is long overdue. Too many construction workers are cheated of their hard-earned wages because the penalties for wage theft are a slap on the wrist. Congressman Magaziner is bringing this issue to the forefront with the "Don't Steal Act" to overhaul the penalties for wage theft violations so that the abusers will face real consequences for their crimes,” said Michael Sabitoni, General Secretary Treasurer, LIUNA. 

“In this moment of extreme inequality, workers across the country are standing together against corporate greed. With real penalties when the boss violates the law, the Don't STEAL Act gives us an important tool in the fight for our fair share,” said Brandon Mancilla, Director, UAW Region 9A.

Rep. Magaziner was joined by Labor Caucus Co-Chairs Reps. Mark Pocan (WI-02) and Donald Norcross (NJ-01), along with Labor Caucus Members Reps. Melanie Stansbury (NM-01), Dan Goldman (NY-10), and Jill Tokuda (HI-02). Representatives from LiUNA, IBEW, UBC and IUPAT were also in attendance. 

This legislation is endorsed by: AFL-CIO; Center for American Progress; International Brotherhood of Electrical Workers (IBEW); International Brotherhood of Teamsters (IBT); International Union of Bricklayers and Allied Craftworkers (BAC); International Union of Elevator Constructors (IUEC); International Union of Painters and Allied Trades (IUPAT); Laborers International Union of North American (LiUNA); North America’s Building Trades Union (NABTU); United Brotherhood of Carpenters (UBC); Operative Plasterers’ and Cement Masons’ International Association (OPCMIA); Public Citizen; Sheet Metal, Air, Rail, Transportation Workers International Association (SMART); United Association Union of Plumbers, Fitters, Welders, and Service Techs (UA); United Auto Workers (UAW); and United Food and Commercial Workers (UFCW).

Local endorsements include LiUNA Local 271; Rhode Island AFL-CIO; IUPAT D.C. 11; RI Building and Construction Trades Council; Carpenters Local Union 330; Ironworkers Local 37; IBEW Local 99; 1199 SEIU United Healthcare Workers East; Build RI; United Nurses & Allied Professionals (UNAP); UAW Region 9A; Teamsters Local 251; IAM District 26; SEIU Local 32BJ; and UA Local 51.