What Happens if a Claim is Filed
Against My Company?
Notice of Claim
If an employee files a wage claim against your company, you will first be
sent a Notice of Claim letter with an enclosed copy of the wage claim (see
“Claim for Wages” document). The letter is to inform you of the claim
against you and will describe the Statutes and Administrative Codes that the
claimant (employee) is alleging you violated. The enclosed claim form is
filled out by the claimant and will outline the hours worked and amount that is
owed. It also allows for the claimant to give a brief description of why
they are filing the claim. The claimant is also required to fill out an
attachment to the claim form that explains how the amount was calculated.
There is a different attachment depending on how the claimant is paid, i.e.
hourly, piecework, commission. Many times, the amount owed is inaccurate
as many claimants are filling the form out by memory and do not have the time
records necessary to determine an accurate number. If the amount of the
claim is inaccurate based on your records, you may include a check in the
amount that you believe to be owed, plus penalties. Checks for both wages
and penalties are to be made out in the name of the claimant.
If you disagree with what the claimant is alleging, you will be asked to
respond with supporting documentation. Examples of supporting
documentation include, but are not limited to, time and attendance records,
check stubs, and employment contracts.
Once the employer’s, or respondent’s, response is received, the information
is either mailed to the claimant for a rebuttal, or a meeting will be scheduled
for the investigator to discuss the claim in further detail with both
parties. Most meetings end in a settlement.
If a settlement cannot be reached between the claimant and the respondent a
determination will be
If payment is not received, a final order will be issued. The
respondent will be responsible for the maximum penalty at this stage. A letter will be sent to
both parties. If the respondent still fails to pay, the debt is referred to
The respondent will also have the right to object to the determination by
the deadline on the letter. If the respondent objects in a timely manner,
a pre-hearing conference will be scheduled with the Labor Commissioner.
Both parties must appear for this meeting and the facts of the case will be
discussed. A formal hearing will also be
A formal hearing will be held with the Labor Commissioner and each party may
explain their arguments. The Labor Commissioner will make a final
decision on the case.
NRS 608.040 states that if an employer fails to pay an employee by the timeframes described in the statutes, the employer must continue to pay the employee at the same rate until they are paid in full.
Generally, penalties are assessed based on the outcome of the investigation.