Legal Question in Business Law in New York
Owed Compensation/ Employer Abandonment
I have been employed for a small recruiting firm (LLC) in NYC for 20 months. On April 30, 2008, the company reclaimed everyone's April 15 paycheck via ACH withdrawal from our private banking accounts. Recently come to find company is in deep financial stress. (waiting on a loan) We were promised reimbursement of the monies reclaimed within two weeks, plus applic. bank fees. To date, all have continued working and earning addit'l income that is pending. The employer is not returning calls or taking any responsibility for running her own company; pretty much left priority bus. activities up to current admin. subordinates. Office packed up and closed May3. We�re in the dark as to what is happening with the company loan status or retroactive pay, as well as upcoming compensation. Employer is ignoring req for clarity or direction. She is embarking on 2 wk. vaca to Europe and alerted some employees that she will discuss when she arrives home. Most recently uncovered that one of the employees had contributed to her 401K over the last 2 years, in excess of $9K, that was never allocated to her account; causing tax liability. We are looking at options that would help us recoup $. Thank you!
KF
2 Answers from Attorneys
Re: Owed Compensation/ Employer Abandonment
Contact the New York State Department of Labor forthwith.
Re: Owed Compensation/ Employer Abandonment
You have a massive mess on your hands, and your former employer faces serious charges which might even land her in jail. Two week vacation to Europe is almost guaranteed to make everyone who got defrauded by her, want to put her in jail.
You and the other employees need a very smart New York lawyer. You may be able to hire one lawyer to represent all of you.
You will have to fight. Good luck to you.
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