HR9458119th CongressWALLET

Wage Theft Prevention and Wage Recovery Act

Sponsored By: Representative DeLauro, Rosa L. [D-CT-3]

Introduced

Summary

Guarantees workers timely, full pay and sharply increases penalties to fight wage theft. This bill would require clear pay disclosures and regular paystubs, create a federal right to full contracted pay, expand damages and criminal exposure, and fund local enforcement partnerships and grants.

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  • Workers: Would require written disclosures within 15 days of hire in the employee's primary language, a paystub each pay period, and final wages within 14 days of separation. It would also require employers to pay any higher rate set by a contract or collective bargaining agreement.
  • Employers: Would create new civil fines up to $25,150 per employee for initial violations and up to $250,150 per employee for repeated or willful violations. Employers would face stricter record rules and a tougher evidentiary standard when records are missing.
  • Communities and enforcement: Would fund competitive grants for outreach, investigations, and back-pay recovery with grants lasting up to 3 years and funding authorized for fiscal years 2027 through 2030. It would also lengthen time limits for bringing wage claims and pause those limits during government probes.

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Bill Overview

Analyzed Economic Effects

6 provisions identified: 3 benefits, 1 costs, 2 mixed.

Bigger recoveries for unpaid wages

If enacted, workers who win unpaid-wage or unpaid-overtime claims would get interest at the prevailing rate for the unpaid time. In many cases liquidated damages would equal 2 times unpaid wages or overtime, and in one specified situation liquidated damages would equal 3 times wages lost. The bill would also bar employers from making employees sign away the right to sue or join class, collective, or joint claims.

Large civil fines for wage and tip violations

If enacted, employers could face per-employee civil fines for many wage and recordkeeping violations. Examples: up to $50 per employee for certain Section 5 violations (or $100 if willful); up to $1,000 per employee for some recordkeeping violations (or $5,000 if willful); up to $25,150 per employee for wage-related violations (or $250,150 if willful). Unlawful tip retention could trigger up to $14,090 per violation plus repaying tips, interest, and double damages to workers.

Higher criminal penalties and DOJ referrals

If enacted, criminal penalties for willful wage violations would rise to fines up to $100,000 for each employee affected for each violative act. The Secretary of Labor would have to refer cases to the Department of Justice when a defined "covered offender" willfully falsifies records, willfully breaks wage rules, and violates certain enforcement provisions. These changes raise the chance of criminal prosecution for the most serious offenders while increasing penalties they could face.

Clear pay notices and paystubs

If enacted, employers would have to give new hires a written or digital pay notice in the worker's main language within 15 days. Employers would have to update notices within 5 days of a change or by the next paystub. You would get a written paystub each pay period listing hours (except salaried exempt workers), gross and net pay, rate or salary, overtime pay, itemized deductions, pay dates, and an employer contact. You could request payroll records going back up to 5 years and employers would have to provide them within 21 days. Final wages would be due within 14 days after you leave or on the normal pay date, and failures can trigger up to 30 days of continuing wages. If employer records are missing, a worker’s credible evidence of hours and pay would create a rebuttable presumption in the worker’s favor.

Get the higher contract pay

If enacted, employers would have to pay the rate written in an employment contract or collective bargaining agreement when that rate is higher than the FLSA-required rate. This would apply to employees who work in or for businesses engaged in commerce or the production of goods for commerce. You would get the contract or CBA rate in any workweek when it exceeds the statutory minimum.

Repeal of a narrow FLSA rule

If enacted, the bill would repeal section 10 of the Fair Labor Standards Act (29 U.S.C. 210). The text does not say what replaces that section. The practical effect would depend on the content of the repealed provision.

Sponsors & CoSponsors

Sponsor

DeLauro, Rosa L. [D-CT-3]

CT • D

Cosponsors

  • Rep. Omar, Ilhan [D-MN-5]

    MN • D

    Sponsored 6/25/2026

  • Rep. McIver, LaMonica [D-NJ-10]

    NJ • D

    Sponsored 6/25/2026

  • Rep. Watson Coleman, Bonnie [D-NJ-12]

    NJ • D

    Sponsored 6/25/2026

  • Rep. Bonamici, Suzanne [D-OR-1]

    OR • D

    Sponsored 6/25/2026

  • Rep. Salinas, Andrea [D-OR-6]

    OR • D

    Sponsored 6/25/2026

  • Rep. Lee, Summer L. [D-PA-12]

    PA • D

    Sponsored 6/25/2026

  • Rep. Evans, Dwight [D-PA-3]

    PA • D

    Sponsored 6/25/2026

  • Rep. Pocan, Mark [D-WI-2]

    WI • D

    Sponsored 6/25/2026

  • Rep. Scott, Robert C. "Bobby" [D-VA-3]

    VA • D

    Sponsored 6/25/2026

  • Rep. DeSaulnier, Mark [D-CA-10]

    CA • D

    Sponsored 6/25/2026

  • Rep. Khanna, Ro [D-CA-17]

    CA • D

    Sponsored 6/25/2026

  • Rep. Takano, Mark [D-CA-39]

    CA • D

    Sponsored 6/25/2026

  • Rep. Hayes, Jahana [D-CT-5]

    CT • D

    Sponsored 6/25/2026

  • Del. Norton, Eleanor Holmes [D-DC-At Large]

    DC • D

    Sponsored 6/25/2026

  • Rep. Budzinski, Nikki [D-IL-13]

    IL • D

    Sponsored 6/25/2026

  • Rep. Carson, André [D-IN-7]

    IN • D

    Sponsored 6/25/2026

  • Rep. McGovern, James P. [D-MA-2]

    MA • D

    Sponsored 6/25/2026

  • Rep. Adams, Alma S. [D-NC-12]

    NC • D

    Sponsored 6/30/2026

  • Rep. Tlaib, Rashida [D-MI-12]

    MI • D

    Sponsored 6/30/2026

  • Rep. Simon, Lateefah [D-CA-12]

    CA • D

    Sponsored 7/13/2026

  • Rep. Grijalva, Adelita S. [D-AZ-7]

    AZ • D

    Sponsored 7/14/2026

  • Rep. Krishnamoorthi, Raja [D-IL-8]

    IL • D

    Sponsored 7/16/2026

  • Rep. Larson, John B. [D-CT-1]

    CT • D

    Sponsored 7/20/2026

  • Rep. Schakowsky, Janice D. [D-IL-9]

    IL • D

    Sponsored 7/20/2026

  • Rep. Chu, Judy [D-CA-28]

    CA • D

    Sponsored 8/24/2026

  • Rep. Jackson, Jonathan L. [D-IL-1]

    IL • D

    Sponsored 9/1/2026

Roll Call Votes

No roll call votes available for this bill.

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