Recovering Unpaid Wages from Employers

You Worked Hard, Now Let’s Talk About Getting Paid

Working long hours without full compensation is not only unfair, it’s illegal under New York law. You may have been denied straight hourly wages, overtime, spread-of-hours pay, or missed tips. Those shortfalls add up fast and affect everything from rent to groceries. If your checks didn’t reflect the work you performed, you have every right to seek justice.

At Horn Wright, LLP, our employment law attorneys specialize in helping New York workers recover the wages they were denied. We understand how difficult it feels to push for what’s owed. Yet the law is clear, wage theft is illegal and avoidable if enforced properly.

You may owe bills, depend on your wages for survival, or worry about what fight might cost you professionally. But the state provides powerful tools to reclaim what your employer withheld. With legal guidance, you can make sure you’re paid what you earned, and more.

If your pay didn’t reflect your hours, now is the time to act. You deserve your full earnings, and the support of the law in securing them.

Legal Tools Available in New York to Recover Your Wages

New York Labor Law grants numerous legal mechanisms to recover unpaid wages. Article 6 and Article 19 cover minimum wage, overtime, and proper payment. Section 650 mandates spread-of-hours pay for days exceeding ten hours. Section 198 allows liquidated damages, interest, and attorney’s fees.

Under these statutes, if your employer withheld any kind of wage, straight, overtime, spread-of-hours, commission, or tips, you may recover double wages through liquidated damages. The law also authorizes statutory interest at a rate of nine percent per year, when unpaid sums go unremedied.

Federal protections under the Fair Labor Standards Act (FLSA) complement New York laws. If your employer failed to compensate overtime or minimum wage as mandated by FLSA, you may file directly in federal court and recover unpaid wages, liquidated damages, and fees.

You may also qualify for enforcement through administrative remedies, NYSDOL or federal Department of Labor can issue orders compelling payment. If your rights were violated, you have legal pathways to recoup your full value.

When Employers Refuse to Pay, Here's What Happens Next

If your employer refuses to pay, despite internal demand or wage claim filing—you can escalate in multiple ways. First, filing with the New York State Department of Labor (NYSDOL) triggers official review. NYSDOL may order payment of owed wages and penalties and investigate employer practices.

If that fails or if the sums are large and complex, you may proceed with litigation in state or federal court. A judicial judgment can order back pay, double liquidated damages, interest, and attorney’s fees, ensuring you’re fully compensated under NYLL § 198 and the FLSA.

In court, judgment enforcement can occur through wage enforcement orders, liens, or garnishment against the employer. Courts may also penalize employers who fail to comply promptly. Legal representation can help ensure compliance and deter further delay.

In some cases, employers may push back, claiming they lack funds, or that classification status exempted workers. But the law is clear: classification debates or hardship arguments don’t excuse failure to pay. You still have legal standing.

Settlements, Judgments, and Wage Enforcement Orders

Often, cases resolve through settlement outside court. Negotiated settlements can include back pay, interest, liquidated damages, and possibly an agreement to restructure business policies. This option often resolves faster than litigation.

If negotiation stalls, you may obtain a court judgment. That judgment acts like a final order, enforceable against employer assets or through garnishment. Courts may also issue wage enforcement orders to accelerate recovery. Those orders require employers to comply under threat of additional penalties.

Having a judgment on file increases your legal strength if enforcement is needed. Courts can sanction employers that ignore wage orders, freeze assets, or penalize employer leaders who refuse compliance. Judgment means actionable rights, not just promises.

A thorough wage claim can end with real results: full compensation, court decisions in your favor, and systemic policy reform to prevent future harm.

Getting Interest and Penalties in Addition to Back Pay

New York’s wage laws insist that unpaid wages do more than just remain unpaid, they accrue interest. Interest under NYLL § 198(1‑a) is set at nine percent per year from the date the wages were due. That means what you earned grows while you're waiting.

Liquidated damages under NYLL § 198(1‑a) allow you to recover 100 percent of unpaid wages for non-willful violations and stronger damages for willful employers. This doubling restores full economic value and sanctions employers failing to comply.

Federal FLSA claims also permit liquidated damages equal to unpaid wages, plus allowable court costs and attorney’s fees. This creates legal alignment between state and federal recovery tools, ensuring you don’t lose value due to jurisdiction.

Ultimately, wage enforcement is not just about recovering hours, it’s about enforcement value, deterrent effect, and preserving employee dignity.

What Happens If the Employer Has Shut Down the Business

If your employer closes or goes bankrupt, recovery becomes more complex, but still possible. NYSDOL can seek enforcement orders or liens against company assets for unpaid wages. That includes wage enforcement funds administered by the state.

If bankruptcy filing occurred, you may file a claim as a creditor, particularly for unpaid wages within a recent payroll period. Labor claims often take priority in bankruptcy estate processes, though outcomes vary by bankruptcy chapter.

In some cases, personal liability may attach to owner-employees or directors under New York law. Courts have imposed personal liability for unpaid wages when corporate structure was used to avoid obligation or when business assets were shifted improperly.

Either way, closure or financial distress doesn’t nullify your legal rights. You still may recover wages, if not fully, through state mechanisms, bankruptcy claims, or personal liability analysis.

New York vs. Vermont: New York Allows 100% Liquidated Damages, Doubling Recovery

New York’s wage statutes offer robust recovery, especially through liquidated damages that double unpaid wages under § 198. That level of recovery significantly exceeds many states’ protections, especially in cases where disputes involve frustration over unpaid overtime or spread-of-hours pay.

Vermont’s laws allow recovery of unpaid wages but often exclude liquidated damages or interest. That means employees may only recover base pay, without compensation for delay or damage. The absence of doubling makes a big difference when wage gaps mount.

Longer filing deadlines, six years in New York compared to three in many states, also allow employees greater access to justice. More time means more evidence preserved, better documentation, and potential to claim repeated wage violations.

That combination, double recovery, longer filing window, statutory interest, makes New York a favorable jurisdiction for employees pursuing unpaid wage claims.

Horn Wright, LLP, Will Fight to Recover Every Dollar You’ve Earned

You worked. You deserve pay. At Horn Wright, LLP, our employment law attorneys build compelling claims under New York Labor Law, FLSA, and enforcement mechanisms to recover every dollar owed.

We assess whether administrative filing or court action offers the best result for your specific case. We prepare detailed wage calculations, consult with experts when needed, and determine the most effective legal path. That may include settlement negotiation, formal litigation, or obtaining wage enforcement orders.

Work with a legal team recognized for securing full wage recoveries in New York. Rest assured, we will pursue not just your wages, but the legal justice you deserve.