Most of us have experienced being slighted by a boss at some point. However, one employee encountered a far more egregious betrayal. The employee discovered that their boss had been stealing their salary each year. When confronted, the boss refused to pay the stolen funds and even harassed the employee.
The incident has brought to light how wage theft is a rampant and escalating issue, with an estimated annual cost of $50 billion, according to the Economic Policy Institute (EPI). While unpaid or withheld breaks and overtime are common forms of wage theft, actively stealing money from a worker's salary is a terrible offence.
From Employee To Victim: A Tale Of Betrayal
The victim of this scheme contacted business and management expert Chris Donnelly, who subsequently shared the story on TikTok. Although it's an extreme example, the case highlights common and troubling office dynamics that we should all be aware of, even if our own money isn't being stolen.
"I discovered my boss was stealing around $8,000 of my salary a year," the worker wrote to Donnelly. "She was classifying my position and pay differently in budgeting reports, and that difference was going directly to her salary."
When the error was discovered and reported, the worker's boss retaliated with harassment. "I confronted her," the worker said, "and after much resistance, it was corrected, but it didn't come without retaliation."
In addition to denying the employee back pay to recoup the stolen funds, the boss also gave them repeated negative performance evaluations and began harassing them on the job.
Since the worker resided in a state where recording conversations without consent was legal, they began documenting every interaction they had with their boss "to document how bad the harassment was." In response, the boss hired an attorney, forcing the employee to do the same.
Even after the worker had provided irrefutable evidence that their boss was stealing money from their salary, the HR department offered no assistance. People who aren't strangers to the corporate world will likely not be surprised by the worker's observation that "HR did nothing to help me and was only there to protect the misconduct of management."
Why HR May Not Be Your Ally
As workplace experts and online commentators frequently emphasise, "HR is not your friend," despite their repeated claims of being "here for you" and having an "open-door policy." Unfortunately, reporting issues with management to HR often leads to retaliation.
Human Resources departments are ultimately designed to protect the company and its leadership from lawsuits and financial losses rather than employees. This worker's experience serves as a prime example of the all-too-common scenario where, even in the face of criminal activity, many companies prioritise protecting their interests over the well-being of their employees.
In the video, Donnelly says, "Remember this: Corruption is a chain." This implies that a single bad actor, especially in leadership, often signals a broader decay problem within the company's hierarchy.
Steps To Take When Facing Wage Theft
Experts advise documenting all relevant information when conflicts arise with managers and HR and consulting a lawyer if you suspect wrongdoing. Donnelly commended the workers' decision to start recording their interactions with their bosses.
However, as mentioned earlier, this practice is illegal in many states, so verifying local laws is essential before proceeding. Experts also recommend maintaining detailed written records of all interactions with management and HR, including positive ones.
Additionally, it's advisable to put as much as possible in writing, such as through emails. This could involve sending a summary of a conversation to all parties involved. This is particularly crucial because HR departments often attempt to manipulate the narrative of conflicts to shield the company from liability.
Maintaining a paper trail can be invaluable if and when the situation escalates. Regarding wage theft, attorneys advise workers to seek legal counsel before taking any action within their workplace to address the issue. This ensures you are fully aware of your rights and the available legal remedies.
In conclusion, we should all maintain meticulous records of both our finances and workplace interactions. Even if we are fortunate enough to work in an environment where significant issues seem unlikely, it's always prudent to err on the side of caution.
This is not an isolated incident where a company fails to prioritise employee well-being. In one such case, a team lead, Olivia, found that her team members were earning more than she was, leading to tense discussions with HR and her boss as she advocated for fair pay and challenged the existing pay gap.
As Donnelly observed, in times of crisis, "Organisations will cling together, and they'll do the right thing for the organisation, which is definitely not the right thing for you."
