HELP! My employer is screwing me over!?

Question

Okay here is the situation. I found an employer that gave me a project/job with AIG. So basically, I work for AIG, AIG pays my employer, and the employer pays me. So first of all, I started working 3 days ago, but the employer still hasn't given me any forms to fill out in order to have it in writing that I'm working through them. They haven't given me a time sheet nor a I-9 form or any form that I have to sign for about the wage they told me. One of the girls who is also in the same position as me e-mailed the employer about getting paid, employer forms, etc. And this is the response the guy gave us:

You will be temporary contract employee and will be paid accordingly every 15 days. No benefits for temporary contract workers. You will be paid for the hours you worked and approved by the Client Manager. Any overtime will be paid at the same rate.

We will discuss about the rates for the time you worked at our office.

Pay check dates:

1-15 th of the month, pay check will be processed on 21th and you will get the money on 23/24 of the month.

16th - End of the month, pay check will be processed on 7th and you will get the money on 9/10 of the month.

You need to fill is I-9 Form and provide proof of work authorization and SSN. We need your bank details for direct deposit. It will take couple of cycles before the direct deposit starts. You also need to fill in Temp. employment agreement and confidentiality and non-compete agreement.

Your contract will end as soon as the Client project ends or if the Client decides not to continue your services.

You will need to get your timesheets approved by the manager on 15-day basis (1-15 and 16-end of month) i.e.., twice a month.

Isn't that wrong what he said???

He is telling us that he will not pay overtime, which is against the law.

He is asking us for our bank information for direct deposit? I don't think I want to give him my checking account number.

He told us that the direct deposit will not be paid until a few cycles are over, which is ridiculous. We should be paid every month.


It seems to me that he wants to delay payments and maybe not make any payments at all!

What should I do? Should I bring up the situation with AIG?

Please help!

Answer 1

First thing, he is not saying they won't pay you overtime, he is saying that you will be paid for hours worked and overtime will be paid at your standard hourly rate. Since you are a contract employee for them they are considering you exempt from overtime.

Direct Deposit - depending on your bank and bank the employer uses the direct deposit may take 1 - 2 pay periods before it is in place. Again, they are not saying that you will not be paid, you will receive a live check you can deposit until the direct deposit goes through.

You should not direct employment questions to AIG as they are not your employer. You need to direct them to the firm you work for. AIG does not control the vendor company with their policies and procedures. As a matter of fact, if you try to involve them in this situation you may end up fired as they (AIG) should not be brought in to this.

It seems as if you are not clear on your working conditions and pay structure and need to sit down with someone and get clarification. Independent contractors (which is what your company is classifying you as) have differnt rules and laws to govern benefits and working conditions. By all means they should have given you a tax exemption form and I-9 form by the second day of work. Tell them you need these right away. Call them up, go and talk to someone and get the information.

Answer 2

In order for the employer to make a direct deposit payment to your bank account, you need to give the bank's routing number and your bank account. This is standard. How else would the employer be able to deposit your paycheck in your bank account??? Direct deposit will be at least a few days after the pay cycle so that the employer can calculate your pay. Some people get paid one week after the pay cycle ends. This is how direct deposit works.

The I-9 is a form that shows you are a citizen of the US or legally employed to work in the US. That is all this form is for. You should have to fill this out before you start working or on your first day, but since you are working through a temp agency, did you fill this form out already with the temp agency?

Some professional employees are not paid overtime. Their overtime hours are paid at the same rate as their hourly wage. You didn't say if this is a professional position or not.

Your pay rate should have been established before you started working.

Contract employees and part-time employees do not get benefits most of the time.

If you have questions, you should contact the temp agency.

Answer 3

Actually, what you've described isn't all that unusual for temporary contract labor.

As a contractor, I suspect you'll find that you don't have the same rights to "overtime" pay as a regular employee.

Also, if you want to do a direct deposit, there's no way to do it without giving them your bank account information. And it does take awhile to get all the backend authorizations handled, so it will probably take at least two pay periods before you'll get paid by direct deposit (even once you give them the bank account information.) However, he isn't saying you won't get PAID -- he's saying that they will have to write you a check and that usually does delay getting the money by a day or two over having the direct deposit done, but that's the nature of the beast.

These are all questions you really should ask before you START a job, by the way. But regardless, this is nothing unusual in the contract labor game. Keep in mind that you'll have to pay self-employment taxes on your earnings, though -- taxes are NOT taken out of the paychecks of contract labor and that may seem great for awhile, till you realize you're responsible for not only the employee part of the tax, but also the employER part of the tax. (Most people don't realize that companies pay employer taxes on their employees' payroll.)

If you aren't comfortable with any of that, you should start looking for a full-time employee job. But those are becoming more and more difficult to find...

Answer 4

If you are a contract employee you are not really an employee of the company but an outside contractor that they are taking you on for a temporary time/project - but YOU need to make sure that you are taken care of - you need to sit down and sign a contract and agree to the terms of the pay and what not...you should look that up online - and negotiate that w/ the company you are working for - you should tell them that you are not comfortable working until both parties have signed a contract - that's basically all you can do - and maybe fill out a W-9 - no I-9 needed since your not actually an employee - but you should know the terms of your contract - you can bail out anytime w/out one...so if your uncomfortable leave - your under no obligation to stay - but they should have been clear about this from the get go w/you

Answer 5

Your "employer of record" is the temp agency. They are your employer and they are required to pay you overtime if you work over 40 hours in a work week (depending on your state, CA says its any hours worked over 8 in a day and I believe CO is similar to that). State laws are often "more employee friendly" than federal laws. Check your state laws. If you work OT and they do not pay you appropriately tell them you know the law and you will simply file a wage claim if they do not fix the situation.
At any rate, some states have laws that say it is ok for the employer to require an employee to accept direct deposit as the form of payment. NOT all though - you have to check it out with the dept of labor in your state. However, you always have to recieve a pay stub / some sort of document that shows what taxes and other deductions are taken out. This is usually mailed to your home by or before the pay date.
It is typical for some (less organized perhaps) employers to dink around a bit when it comes to filling out new hire paperwork. It's nothing to be alarmed about unless it gets to be close to your first pay day and you still don't have them filled out.
If you want to email me what state you are in I can find out if direct deposit can be required by the employer and what the specifics are for hours worked in a day / week for overtime.

Answer 6

Let's doublecheck your working. If I work in someone's home taking care of their kids and no one else's, I am a household employee. In those cases, I don't get any forms if I make less than $1800 (and record the income as HSH wages); for more than that, I get a W-2 with fica/mc withheld or paid for by the parent. If I work in someone's daycare center, which happens to be located in their home, I am almost always still an employee due to the nature of the work. The owner may cheat and try to call me a contractor/1099-Misc but I don't see how she can argue you meet the behavioral control and profit motive tests. IMO, she should still be issuing you a W-2 starting with the first $1 made. In both cases you fight misclassification by filing form SS-8. If the IRS agrees with you, you amend your returns, remove the schedule C and add form 8919. That way you pay on the employee share, not the employer's share as well.

Answer 7

Go to the office of the temp agency you are working for .
Get copies of the time sheets they use or a hard copy of the notice about your schedule with AIG .

The wage rates should be told to you before you accept the job ( you took a job without knowing the pay ?)

Check with your state labor board on that matter .
Laws vary for every state .

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Answer 8

He is telling us that he will not pay overtime, which is against the law.
NOT for temps.

He is asking us for our bank information for direct deposit? I don't think I want to give him my checking account number.
You can tell him that you don't have a bank account. Checks will do.

He told us that the direct deposit will not be paid until a few cycles are over, which is ridiculous. We should be paid every month.
If direct deposit is enacted, it takes that long.


It seems to me that he wants to delay payments and maybe not make any payments at all!
Not likely.

What should I do? Should I bring up the situation with AIG?
That's who you stated you work for. You may be told the same thing.

Answer 9

he is not doing anything illegel because he has not acually employed you yet. And he is paying you over time. he is saying that overtime will not have any bonus, it is the same rate as what you would usually work.

the bank stuff is a little fishy

and in most situtation the company will pay you directly and not the employer. Unless it is under the table cash ""no contract""

if you were working for aig they would send you a contract.

if i were you i would get in touch with AIG

Answer 10

Do what your gut tells you to do. Follow your intuition. If you think they are being shady, quit. Or if you think they aren't paying attention to paperwork, ask for it again. If they don't respond in a timely manner, quit.