QUESTION
Can my employer tell me not to cash my checks?
Asked on Apr 06th, 2024 on Employee Benefits - Michigan
More details to this question:
Asking for the employees The owner of the company has told us we can't cash our payroll checks because there is no money. Now holding 5 paychecks some employees less. He continues to cash his checks. He's already in trouble with the IRS We have thought about contacting them but unsure who to contact
1 ANSWER
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Your employer has almost certainly broken multiple laws.
If money for Social Security, FICA or State income tax is withheld on the printed paycheck, that same amount of money had better be remitted to the respective government. Failure to do so is embezzlement and possibly a felony.
It sounds like the employer is at or near bankruptcy.
Not sure if the employees can manage the company but you should offer to buy it from him for a dollar because that dude is toast.
Answered on Apr 06th, 2024 at 9:17 AM