What is the penalty for not paying employees the minimum wage?
In New Mexico, employers are required to pay their employees the minimum wage, which is currently $7.50 per hour. If an employer fails to pay their employees the minimum wage, they can be subject to a number of penalties. The first type of penalty is civil. The New Mexico Department of Workforce Solutions sets the state’s wage and hour regulations, and it’s the agency responsible for enforcing them. If a company is found to be in violation of the minimum wage law, they may be subject to a civil fine of up to $1,000 per employee that was shorted the proper wage. The second type of penalty is criminal. The state of New Mexico has criminal penalties for employers who fail to pay the minimum wage. The employer may be charged with a fourth degree felony for intentionally not paying the minimum wage, and if convicted, they could face up to 18 months in prison and a fine of up to $5000. Finally, the employer may also have to pay the unpaid wages, plus interest, to their employees. If an employee feels they have been shorted wages, they can file a complaint with the Department of Workforce Solutions and the employer may be subject to both civil and criminal penalties. Ultimately, if employers in New Mexico fail to pay their employees the minimum wage, they can face steep fines, criminal charges, and possibly even jail time.
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