-> On occasion employers decide not to pay all wages due at the time an employee leaves either voluntarily or involuntarily. Unpaid wages may be collected either through the Labor Division of the Utah Labor Commission, through small claims court, or through an attorney.
-> The Labor Division will collect wage claims up to Ten Thousand Dollars ($10,000.00). Advantages of using the Labor Division are that they do not charge for their services, and that they understand the law and the process completely. A disadvantage is that they have a heavy case load so the process may take more time than the unpaid employee wishes to wait. http://laborcommission.utah.gov/AntidiscriminationandLabor/wageclaimunit.html
-> Utah small claims courts have a jurisdictional limit of Ten Thousand Five Hundred Dollars($10,000.00). An advantage of using the small claims court is that a hearing can be held within a month or less of filing the claim. Disadvantages include the fact that there is a filing fee the employee must pay though the court should award a winning employee that filing fee and the fee for service of process on the employer as part of the judgment. Also, the typical small claims judge for an initial hearing is not a full time judge but a judge, pro tem, an attorney who volunteers to serve one evening a week. It is possible that the small claims judge will not be familiar with the applicable sections of the labor code and may, on a rare occasion, rule against an employee who has a valid claim. Any party who loses in a small claims action is entitled to an appeal to a full time district court judge. Just because an employee has a judgment against an employer does not mean that the employer will automatically pay the judgment. If the employee obtains a judgment it may be necessary to resort to a garnishment or a sheriff's sale to collect the judgment. The court clerk will assist with this process. To file a small claims action go to any district court listed in the state government section of the blue pages of the telephone book. The clerk will help get the claim filed.
-> The final option for collecting unpaid wages is to retain an attorney. We collect wage claims but we also suggest employees consider either the Labor Division or small claims court first if the claim is within the jurisdictional amount allowed because it is typically more cost effective. Most experienced employment lawyers will not take wage claims below Ten Thousand Dollars ($10,000.00) because they are not cost effective given the time involved. An attorney's hourly fee to collect a small wage claim will often be several thousand dollars. Typically experienced attorneys will not take small wage claims on a contingent (percentage) fee basis. The Utah Code allows the court to award attorney fees in actions for collection of wages. We are willing to collect larger wage claims on either a contingent fee or an hourly fee basis. If you have such a claim please call for an appointment. (801-255-4774)
-> If you have been terminated and have a wage claim over $10,000.00 and want to have an attorney help collect the debt act immediately. The Utah code allows wage claimants to collect attorneys fees' and liquidated damages equal to the amount of wages for up to 60 days if the claim is brought within 60 days and written demand is made at least 15 days before the claim is filed in court. That means that the attorney will typically want to meet with you not later than 30 days after you were fired so the claim can be processed and all the proper demands made.