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By: Maria-Paula
A study by the financial education community Goat Academy with data from the U.S. Department of Labor has placed Virginia in third place for wage theft, after Maryland and Delaware, with $1,680 on average owed to 3,497 employees.
The ranking showed that some companies in Virginia still owe employees $5,876,160, having committed 4,795 wage theft violations since 2021.
Maryland tops the list of the states with the most significant wage theft violations of back wages per employee, and Delaware is in second place.
In Maryland, each employee affected is owed $2,221 on average with a total a total of 12,639 wage theft violations since 2021, owing 2,020 employees a staggering total of $4,486,871 back wages. In Delaware, 314 affected employees are owed an average of $1,822 each. Companies in Delaware have committed 348 violations, owing workers a total of $572,034.
The latest study has discovered that in America’s wage theft capitals, workers have in total lost more than $128 million back wages.
“Wage theft in the United States is an economic injustice and silent epidemic. This study highlights the severity of it in some states and just how many hard-working citizens are being stolen from”, said Felix Prehn, Goat Academy spokesman, as he commented on the findings.
Next in the ranking is Florida, coming in fourth place as companies owe an average of $1,657 per employee with 23,176 violations committed since 2021. A total of 9,968 employees have been affected, and a staggering total of $16,520,613 still not paid to them.
In fifth place, New Jersey owes $1,635 each on average. With 5,669 workers affected, companies in the state have committed 7,377 violations and still owe $9,267,729 back wages.
New Hampshire is sixth, where $1,595 average back wages are owed to 1,205 affected employees. Companies in New Hampshire have committed 2,419 wage theft violations since 2021, still owing $1,921,979 in total.
Iowa comes in seventh place, with $1,485 average back wages per employee. In Iowa, companies have committed 904 violations, with 764 employees affected and a total of $1,134,485 still owed to workers.
In Massachusetts, an average of $1,473 back wages is owed per affected employee, putting the state in eighth place. Out of the total 1,792 violations, Massachusetts companies owe $2,166,724 overall to 1,471 employees.
In ninth place is Washington, where companies owe $1,461 per affected employee on average. Companies in the state owe 352 workers back wages, committing 575 violations since 2021 and owing a total of $514,373.
Finally, the tenth worst offending state for wage theft violations is South Carolina. Companies in the state owe $1,345 average back wages per employee, committing 2,533 wage theft violations since 2021, where 2,115 workers have been affected. These South Carolina companies still owe $2,844,702 in back wages.
Top Ten Worst Offending Wage Theft States
1 Maryland $2,221
2 Delaware $1,822
3 Virginia $1,680
4 Florida $1,657
5 New Jersey $1,635
6 New Hampshire $1,595
7 Iowa $1,485
8 Massachusetts $1,473
9 Washington $1,461
10 South Carolina $1,345
The back wage data was collected from the US Department of Labor, from January 2021 to June 2024. For each state, the total violations, employees affected, and back wages agreed to pay ($) was collected.
Violations per employee (total violations / employees affected), back wages per employee (back wages agreed to pay / employees affected) were calculated, and states were ranked by back wages per employee.
“No one should have their wages kept from them, especially in today’s economic climate where the cost of living has risen and continues to rise at an alarming rate for working people. The shocking volume of money taken and the number of violations in just a three-year period shows that companies are continuing to get away with wage theft. These violations erode the foundations of fair labor, turning the pursuit of the American Dream into a struggle for rightful pay,” concluded Prehn.
