Detailed Answer
When you lose hours and pay rate records, Michigan law still allows you to seek lost wages by reconstructing your earnings. The Payment of Wages and Fringe Benefits Act (MCL 408.471 et seq.) sets employer recordkeeping standards and shifts the burden if records are missing. Here’s how to calculate and support your claim:
Legal Framework in Michigan
The Payment of Wages and Fringe Benefits Act requires employers to keep accurate records of hours and wages. See MCL 408.473. If your employer fails to maintain these records, Michigan law allows you to estimate lost wages and shifts the burden to the employer to disprove your estimate. You can sue under MCL 408.477 within 2 years of the missed payment (or 3 years for willful violations).
Gather Available Evidence
Collect any personal records or third-party documents to reconstruct hours and pay rates:
- Bank and paycheck stubs showing deposits or withdrawals.
- Work schedules, calendars, or time-stamped emails.
- Affidavits from coworkers or supervisors confirming hours.
- Employee handbook or job postings with pay ranges.
Reconstructing Your Hours and Pay Rate
Use the evidence to create a reasonable estimate:
- Calculate regular hours per week based on schedules or testimonies.
- Determine overtime rates at 1.5× for hours over 40 weekly.
- Use prevailing pay rates from offer letters or similar roles.
- Note any shift differentials, bonuses, or commissions.
Statistical and Mathematical Methods
Apply statistical methods if daily records are unavailable:
- Use averages (e.g., from months with complete records).
- Document your calculation steps in a worksheet.
- Include all pay components: hourly, overtime, bonuses.
- Round conservatively to strengthen credibility.
Filing Your Claim
You can file a civil lawsuit under the Payment of Wages and Fringe Benefits Act. File within the statute of limitations: 2 years for ordinary claims and 3 years for willful misconduct (MCL 408.477). Michigan’s Department of Licensing and Regulatory Affairs (LARA) also accepts wage complaints. Provide your reconstructed calculation, supporting evidence, and a demand letter if required.
Disclaimer: This article is educational only. It does not constitute legal advice. Consult a qualified attorney for guidance on your specific circumstances.
Helpful Hints
- Request a wage statement from your employer in writing.
- Preserve text messages or emails about hours and pay.
- Keep a contemporaneous time log going forward.
- Consult the Michigan LARA website for forms and deadlines.
- Consider small claims court for amounts under $6,500.