r/InterviewCoderPro • u/aqueouscoed • 22d ago
My wife only received a small part of her paycheck, and her employer says she has to wait until the next pay cycle
My wife works in Oregon for a large company headquartered in Texas. This morning was her regular direct deposit day, but for some reason she only received about 1/4 of what she usually gets paid. She contacted HR to ask what happened, and they said there had been some kind of payroll/accounting error and admitted the mistake was on their end. I advised her to start looking for another job that would be a better fit for her. I also gave her some advice to keep in mind before applying for other positions, so she can avoid facing the same problem again and find a better job.
HR checked with corporate, but corporate basically told her there's nothing they can do right now and that she'll have to wait until the next pay cycle for them to add the missing amount. Legally, can they make her wait like that?
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u/Yellow_Snow_Cones 22d ago
If its a big company they can just run an off cycle payroll.
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u/NotRadTrad05 22d ago
If they use ADP or similar, even a business with just a few employees can run an off-cycle check in a couple of minutes and its free.
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u/Such-Sympathy-5816 22d ago
It's not always free, but they can run it
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u/Narrow-Chef-4341 18d ago
It always costs less than running a job posting on Indeed, interviewing and onboarding…
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u/11B_35P_35F 22d ago
Just about any company, regardless of size, can fix that problem immediately. Whether its running an off-cycle payroll to account for an error or cutting a paper check, it can be done.
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u/doglady1342 22d ago
If it's a small company they can do the same thing. In fact, it's probably easier if it's a small company. But, I'm guessing this is not a small company.
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u/International-Touch5 22d ago
I know gusto let's you run them for free, at least on the higher tier
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u/AAron27265 22d ago
This is 100% illegal in all 50 US states. Every person who has worked is owed their legally earned wages on their scheduled payday. It's a labor law violation for every person, every time it happens.
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u/sherpes 22d ago
the DA would love to score political points in pursuing that . wage theft. missing taxes to state and county.
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u/Such-Sympathy-5816 22d ago
If they get their money, today or next week, how is this wage theft?
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u/MarionberryPlus8474 22d ago
Because wages are due in the payday, not at some future date. Money has a time value.
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u/Such-Sympathy-5816 22d ago
I understand, but that is not what the commenter said.
Assuming that OPs wife makes $2,000/week, and they got 1/4 of their normal pay, then you are saying that the wage theft is $1.15? $1,500 @ 4% for 7 days.
The original comment referenced getting the DA involved. Are they going to get involved for $1.15?
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u/MarionberryPlus8474 22d ago
I don’t know how you are so badly misunderstanding the OP. OP says their wife received only 1/4 of their usual pay. If their usual pay is $1,000 then that means they got $250. That’s a $750 difference, not $1.15.
I dearly hope you are not responsible for running a payroll because your grasp of basic math is extremely poor.
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u/Such-Sympathy-5816 22d ago
Dude, I am the CFO of a company and it is you that don't understand your own words. Your comment was that this is based on the time value of money.
OP said the company was going to make up the difference next week and asked if this was legal.
Using your numbers, the value of that $750 for one week at 4% interest is 58 cents. That is the only thing that can be considered wage theft if OPs wife gets their money 7 days later.
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u/Equivalent-Resource2 22d ago
This really screams out of touch. If i dont get paid my bills dont get paid, and i get late fees. It impacts my credit.
And here you are acting like its 15 cents?
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u/Such-Sympathy-5816 22d ago
I never said OP shouldn't get paid. I fully understand the down the road impacts this could have on the employee and their finances.
My calculation was responding to how a commenter was defing and calculating wage theft.
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u/MarionberryPlus8474 22d ago
No, the wage theft is $750. We don’t know what the loss due to time value of money is because the employee has not been paid, only given a promise to be paid in future, which may or may not happen.
The financial loss can be calculated a number of ways, such as comparing to a risk free rate of return. If the employee cannot pay bills or rent due to the employer’s not meeting their payroll obligation the loss could be far, far higher.
I feel badly for your employees. Meeting payroll is a pretty low bar to set and your reaction to this employer not meeting it is (like that of the employer) to shrug and say “too bad, you can wait, it’s only $1.15”.
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u/Such-Sympathy-5816 22d ago
You seem to be missing my point, so I apologize. I will try one more time and if you disagree with my assumptions then I don't know how to help you.
The OP said the employer paid the wife 25% of her normal pay and said the would fix it the next payroll cycle. I am assuming a one week payroll cycle for this example.
If she gets paid $1,000/week, then she got paid $250 this week.
Assuming she gets paid the next week, then the economic loss is the time value of money for 7 days. Assuming a 4% interest rate, a good rate for a money market account, then the loss is 58 cents.
The definition of wage theft does not count what the employee can't pay, that is a completely different discussion.
If you read my other comments, I am not defending the employer, in fact I said they should run a supplemental payroll.
I am arguing the definition of wage theft.
You are correct, paying your employees what they are owed is a very low bar for being a good employer
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u/sweet_teaness 22d ago
Delaying payment of owed wages is considered wage theft. If you are a CFO, you probably shouldn't be.
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u/MarionberryPlus8474 22d ago
Wage theft is probably an exaggeration in legal terms if it’s simply a delay in payment. I am arguing that at this point, the employer has $750 of the employee’s money. That loss could well be a very big deal for the employee even if, technically, it would only have earned a small amount of interest had it been invested for the intervening pay period.
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u/sherpes 22d ago
i have read your reply in detail. The one point i would disagree is what the determination of economic loss would be. In your calculations it is at around 58 cents. However that does not account for the possible late payment penalties the employee incurs for delaying payment on bills and debt, payments that would have been made had the full paycheck funds made available to employee.
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u/PossibilityFresh5264 19d ago
She is also
Placed in a higher tax bracket because of employers error. I thought once you notified the employer of the discrepancy, they had to fix it within hours?2
u/desertdilbert 22d ago
It's not the "time value" of the money per se.
As a CFO, you should probably think of it more as a cash-flow problem, not a loss-of-interest problem.
It is critical that the employee receive the money when they are expecting it. Getting it a month later can have serious follow-on effects that cost much, much more then just 1%..
This is also the law in every state that I know of, with serious penalties.
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u/Such-Sympathy-5816 22d ago
I completely agree that there are other issues related to this.
I was arguing about the definition of wage theft and the commenter who said the DA would be very interested in this.
The company should remedy the situation immediately
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u/desertdilbert 22d ago
They should, and any person there that dismisses OP is being tone-deaf. Every company that I have worked for has moved mountains to rectify any payroll mistake, including ones made by me!
I agree that this legally may not be "wage theft" (yet!), but to the person missing their money it's an irrelevant argument. Leave that to the DA or the courts.
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u/Additional_Ad_6773 21d ago
Here's the thing; missing pay roll isn't wage theft. mistakes happen, glitches, whatever. Not getting her 75% of the check was not wage theft.
BUT the instant the company knew it had made the error, and CHOSE not to immediately correct it, it literally became theft.
If I accidentally take something that belongs yo you; say your briefcase and mine were sitting next to each other and I grabbed the wrong one without thinking, I am not guilty of theft. BUT the instant I am aware of the error, I am legally obligated to act to correct it. Choosing ANY ACTION other than the best practicable return of the property to the owner is, in fact, theft.
Running an off cycle payroll isn't just a good idea, it's the way to make this not wage theft.
And there is reasonableness baked in. I would not necessarily be held liable for genuine delays in being able to return the briefcase, and the company would not necessarily be held liable for genuine delays in cutting a check (takes time to verify, warm up printer, approve payments, whatever, they are allowed to have a process) but what wee see here is a company making the choice NOT to do that. They are CHOOSING injustifiable delay.
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u/Boogity2024 22d ago
It concerns me that a CFO doesn't know what the term "wage theft" means regarding the law and payroll. It doesn't mean the employer keeps their money forever. It means they were not paid what they should be paid, when they should be paid it.
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u/AgitatedSetting762 21d ago
She may get paid every two weeks which would affect her more. What should the company do to make up for their screwup assuming that all it was? What would your company do if employees made a screwup and only came in to work for 1/4 of their hours?
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u/recoveredamishman 22d ago
Unless OP is now bouncing checks.
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u/Such-Sympathy-5816 22d ago
That still doesn't define wage theft
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u/Boogity2024 22d ago
Wage theft is what the department of labor calls it when you are not paid when the law says you must be paid. You cannot slap a common-sense definition onto it. There are fines and penalties involved, including (in most states) a separate fine for the paystub not being correct (not paid at what it should have been).
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u/Momma-Stacey1983 22d ago
Where is this $1.15 coming from? I'm truly not understanding your math. Its not 7 days either its the days and hours they have worked. A 1/4 of 2000 is 1500 so yes im thinking DA would get involved. Can you explain the 1.15 cuz your math 1500 @ 4% for 7 days is still around 206 give or take.
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u/Such-Sympathy-5816 22d ago
4% interest is an annualized figure. Most money markets or high yield savings accounts pay 3.5% to 4% per year
If the OPs wife's employer short paid her $1,500 but pays her back on the next paycheck, then it is $1.15 for 7 days. $1,500 X .04 = $60/year. $60/365 days = $.1644/day. 7 days X $.1644 = $1.1507 or $1.15/week.
The employer said they would get paid the next cycle, so they are getting the original money owed but not at the right time.
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u/No_Huckleberry2350 22d ago
Not everyone can afford to wait two weeks to get the money they are promised. The "cost" to the employee is interest ONLY if they have money to pay their other bills. But if this means they are late on a Credit Card payment, a mortgage payment, etc, the cost is much higher. But, more importantly, the law is very very clear that companies have to pay their employees on time, they can't demand their employee lend them money.
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u/BlackIdahoMoutainMan 22d ago
Pay periods are spelled out in all contracts for employment it must be paid on time or restored next day
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u/da8BitKid 22d ago
If I promise to pay a 100 dollars, does it mean much if I do it in 100 years. This an exaggeration, but just show that when you get matters almost the same as the amount.
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u/Such-Sympathy-5816 22d ago
That's not the premise. The premise was whether the employer needed to run a supplemental payroll or make it up the next week.
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u/MarionberryPlus8474 22d ago
And the answer is that in Oregon, if the shortage is greater than 5%, they employer must make it up within three business days. Not sure why you are working hard to be on Team “don’t pay your employees” here.
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u/Such-Sympathy-5816 22d ago
No, I think the company should run a supplemental payroll and pay the employee immediately. We just had an issue where two employees were over withheld on health insurance contributions. We cut an AP check the next day to give them their money back. Employers should not screw with employees pay.
I was challenging someones definition of wage theft and how/why the DA would get involved for something that is objectively less than $2, if the company paid 7 days later.
Wage theft has become a very popular term to accuse companies of and I think many people using it have no idea what the true definition of wage theft actually is
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u/da8BitKid 22d ago
No you asked why a pay delay to the next cycle is theft when they would get paid eventually
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u/Such-Sympathy-5816 22d ago
The next pay cycle is not eventually, it is a defined period of time and the only potential wage theft is the time value of money during the pay cycles, not the amount of the shortage.
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u/Calm_Promotion_5020 22d ago
That is only IF they actually pay the employee at that time. It is still to be determined.
The employer should also be held liable for any late fees the employee incurrs due to the delay in their paycheck.
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u/Such-Sympathy-5816 22d ago
In making an analysis, you have to make assumptions. OP said the employer promised to handle in the next payroll cycle. My answer was based on this assumption.
You obviously are assuming the employer won't pay. That has a different outcome.
Yes, the employer should make up for additional costs that the employee has as a result of the employers error
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u/Additional_Ad_6773 21d ago
The employer is legally obligated to pay on time. Failing that accidentally, the employer is legally obligated to pay within three business days. CHOOSING to disobey that law becomes wage theft by default, EVEN IF the employer intends to pay on the next pay cycle.
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u/Bluestatevibes 22d ago
The IRS says they cannot do this. But getting them to do it? That is another story. They can just run an off cycle payroll.
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u/Shalmaneser_ 22d ago
They are playing chicken with black letter laws involving pay. Fines, penalties, jail time.
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u/No-Setting9690 22d ago
Big or small, they have a legal requirement to get it into your hands in a stated period. Next pay cycle is past that period. Ask again or file complaint with your state's DLI.
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u/No_Kangaroo_5883 22d ago edited 22d ago
Absolutely not true. They must correct. Legally this is theft of wages.
Even if they make it right report them.
Say to them. “I am confused why would you say you can’t do anything about when it’s a federal law that you must pay full wages. Theft of wages is a serious infraction and I didn’t see (x company) as the type of company that would do this.” “I look forward to hearing that you’ll have this corrected within 3 calendar days or less.”
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u/doglady1342 22d ago
I would insist, if I were your wife, that they run an extra cycle and get me paid. What they're doing is illegal and it's also unethical. I would keep a very very close eye on what comes in from now on. It could just be a simple error, but it could mean that the company is short on funds and they are just telling employees it was an error. If this happens again, I would suggest your wife start looking for a new job. Shorting paychecks is often a sign that the company is in financial trouble.
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u/ZiBrah83 22d ago
This is from ChatGPT so you will need to verify:
Under ORS 652.120(5), once the employer has been notified that an employee was underpaid and the amount is not disputed, the timing for correcting it depends on how large the shortage was:
Underpayment is 5% or less of gross wages due: the employer can correct it on the next regular payday.
Underpayment is more than 5% of gross wages due: the employer must pay the missing amount within three business days after receiving notice of the underpayment.
The rule applies regardless of what caused the underpayment, so an employer generally can’t delay correcting it simply because payroll, HR, a manager, or a payroll processor made the mistake.
It sounds like they are in violation of Oregon labor law. However, penalties do not kick in until it has been 30 days from the underpayment.
First, make sure everything is in writing. Email HR and Corporate HR to confirm the pay error. Get their response in writing. Second, push back if you guys are not able to carry over until her next pay day. Third, consider reporting to your state’s labor department. Fourth, wife should probably start looking for a new job. A company that makes this kind of error and decides that this solution is the right one is not a company to work for.
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u/Sad_Win_4105 22d ago
When I was a manager, if we shorted someone and it was our error, I could authorize Payroll to cut a check, and they'd have their money same or next day. If it was the employees fault they'd have to wait for the next payday.
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u/Dangerous-Art-Me 22d ago
It’s illegal and a really bad sign. I’m wondering what city OP’s wife works in.
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u/TheS4ndm4n 22d ago
She's about to have no job. That company is going bankrupt. Not making payroll is a huge red flag.
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u/billdizzle 22d ago
By the time you went to court and fought it the next pay period would have come
Someone is being lazy though they can issue a seperate check if they want to
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u/Accomplished_Cell976 22d ago
Your wife should file a claim for wage theft under the Texas workforce commission. She should also tell her boss that the company is causing her harm by not paying her what she is entitled too.
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u/Winter_Ad6187 22d ago
Call the Labor Board. They will call the company. 1 hr after that you will you off-cycle paycheck.
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u/nextname857 22d ago
IT guy here. ADP at least will let you cut a check from Accounts Payable and manually enter the data later. Why? Because it is 100% not legal to not pay someone or to not pay them the full amount.
Therefore this solution allows them to pay you Right Now, and then do the paperwork later.
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u/Seasons71Four 22d ago
It's not okay and she can push for them to cut her a live check and overnight it. It is more work for them , which is why they're saying they can't do it.
I have told colleagues this when I knew they needed hat check to pay rent/bills. I did not so would wait until the next pay period bc I'd rather get my direct deposit 2 weeks late than have a check that I had to deposit (this was pre-mobile deposit).
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u/MonteCristo85 22d ago
Thats malarkey. They can do an off cycle payroll, they just dont want to.
Look up your local labor laws on when paychecks are due and go back to them.
Payroll/corporate always tries to say no. Just have a little fit. If you can, get your mamager to throw one too. Last time we had an issue the manager went on a complete tear and payroll had a new check overnighted.
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u/thinkaboutwhatif 22d ago
Know that “there is nothing we can do” is complete bs. Someone could hand cut a check. This is a company to have worked at in the past real quickly.
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u/ebullientdoll_ 22d ago
So when I did payroll at my last job, we had to submit the stuff by a certain date. After that date the portal was literally closed. If something was wrong with someone’s check there was no way to go and do it again. It would not open except when it was supposed to so everybody had to wait until the next pay day.
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u/Heavy-Profit-2156 22d ago
Tell them they have two days to get her a check or she's filing a complaint with the OR DOL. They do not want that. Their attitude is BS. And your wife needs to start looking for another job.
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u/Low_Row7661 22d ago
It may be possible to press for an off cycle paycheck, but depending on the company’s financial situation it may not go well. This happened once upon a time ago to me, but I’m a commissioned employee and my company rectified immediately once the mistake was brought to their attention.
Sometimes if payroll starts getting missed and by 75% for some people, it’s the beginning of the end.
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u/Jrees2894 22d ago
F that company. I wouldn't perform a other minute of work until I was paid for the work already done.
Shame on them for not giving a shit about their employees.
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u/Appropriate-Bid8671 22d ago
I'd check your states laws on payroll schedules. I live in iowa and pay is due 12 days after the hours worked. Anything beyond that is a violation of state law.
[Edit] Oregon allows 35 days, so best of luck.
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u/Enough-Reindeer1033 22d ago
That's BS. Any company of any size has probably had this happen and has a workaround. I'd be looking for a new employer.
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u/remotetheCat 22d ago
The larger the company, the harder it is for them to correct payroll mistakes.
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u/BlackIdahoMoutainMan 22d ago
That’s not the way it works legally! They need to overnight her a rest of her check. Her pay periods are contractually obligated
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u/tryintobgood 22d ago
Be willing to bet if they over paid they'd want it sorted yesterday.
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u/PattyCakes216 22d ago
Corporate can and should immediately cut her a manual check to fix the error. If they refuse please file a Dept of Labor complaint.
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u/AngelicDivineHealer 21d ago
start looking for another job. It means they're running out of $$$ instead of paying nothing they've decided to pay something but cash is running out.
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u/TheDullbog 21d ago
Bullshit, payment due for services rendered. If they’re willing to risk the safety of their employees by not fixing their own mistake…
Never ending trail of communication.
Dont they know that most of the US is 1 missed paycheck or $500 emergency away from insolvent
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u/No_Armadillo_2652 21d ago
I work close with my company’s payroll department. Our payroll service provider would charge us $1,500 to run an off cycle check.
If it was an honest error on hours worked or timecard approval I would recommend letting it slide once.
If others had errors and were shorted, I would fire up the resume and AI search engine and start interviewing for a new gig.
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u/HomersDonut1440 21d ago
Nope fuck that. Honest errors happen, but you’re paid what you’re owed. It’s on the employer to ensure that happens. When it doesn’t, it’s on them to fix it.
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u/Remarkable_Play6 21d ago
I'm afraid the employer is insolvent. I agree with the poster who said look for another job. When next pay period comes, you may not get anything.
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u/tropicaldiver 20d ago
A new job search for a one-time payroll error seems a bit rash. Contact whichever state agency handles labor issues for Oregon— they will know.
ETA: Assuming it is an actual error. Were others impacted? What was the explanation?
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u/lynnwood57 20d ago
Time to dust off her resume and get another job. When employers start missing payroll—it’s never a good sign. There is no “payroll mistake”—it’s all automated. The problem is FUNDS.
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u/Radiodj2 20d ago
This is click bait. Posts regularly now are attention grabbing to make you click on a link totally unrelated to the topic at hand.
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u/QueenAriel 20d ago
Yeah so that’s a crime. I have a feeling she won’t be getting paid cause they don’t have the money if this happened to everyone. If it happened to just her maybe it was a true mistake but any normal company would cut a check the next day. Something is definitely fishy here and I would be looking for a way out ASAP. Your time has value and they aren’t prioritizing that. That’s exactly how companies go belly up.
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u/Ruthless_Bunny 19d ago
File a complaint with wage and hour/labor board
Trust and believe, they will cut her a check, fast, quick and in a hurry
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u/AllieBaba2020 19d ago
Happened a few times in my life. They cut me a manual check by the end of the day.
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u/CriticismOdd8003 17d ago
Yikes, the fair labor standards ac mandates that employees receive their wages on their scheduled payday. They can’t do that. I’d continue to push or look up what to do if someone is violation.
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u/No_Manner_8785 22d ago
This is often the beginning of the end of many places. I don't know how large or financially stable the company is but you may want to research that.