Legal Question in Business Law in Indiana

Payroll when firing or laying off

I have been given notice that my employment may be terminated. The company owes me money from several times over the past two years where I was not paid because funds were not available. Are they required, by law, to give me the past payroll owed me? What if, due to lack of money in the small business, they refuse to pay me?


Asked on 10/23/02, 6:02 pm

1 Answer from Attorneys
C. David DuMond Law Offices of David DuMond

Re: Payroll when firing or laying off

If the employer fails to pay wages, they incur liability to you personally for the back wages, PLUS 10% of the back wages, PER DAY, up to double the amount of the wages due, PLUS attorney fees. (Indiana Code 22-29-4.)The first thing you should do is contact the Indiana Department of Labor, http://www.ai.org/labor, telephone 317=232-2655, to file a claim for the back wages and your current unpaid wages. If the company goes bankrupt, unpaid wages are a priority claim. And you may have a personal claim against the business owner. Good luck.

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Answered on 10/23/02, 9:06 pm


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