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# Wage Theft Prevention and Wage Recovery Act Summary This bill strengthens federal protections against wage theft—when employers fail to pay workers for hours worked—and provides tools to help workers recover stolen wages. The legislation affects all employers and employees engaged in interstate commerce. The bill requires employers to provide workers with written initial disclosures explaining pay rates and classifications within 15 days of hire, regular paystubs showing detailed wage calculations and hours worked, and final payments within 14 days of employment termination. It establishes a new federal right for workers to receive full compensation at rates agreed upon in employment contracts. The bill significantly increases penalties for wage violations, raising civil fines to up to $22,030 per employee for initial violations and $110,150 for repeated violations, while doubling liquidated damages from equal amounts to twice the unpaid wages. It also extends the statute of limitations for wage theft lawsuits from 2-3 years to 4-5 years and allows the statute to pause while the Department of Labor investigates complaints. To strengthen enforcement, the bill authorizes $50 million annually through fiscal year 2027 for grants to nonprofits, employers, business associations, and other organizations that work with the Department of Labor to educate workers about their rights, investigate violations, and recover back pay. The Department of Labor must issue regulations within 18 months, with most provisions taking effect 6-18 months after final regulations are issued.

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