Houston workers urged to claim $4.3m in unpaid wages

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The U.S. Department of Labor encourages Houston workers, to check if they are owed back pay through a newly launched federal website. 

The Department’s Wage and Hour Division (WHD) currently holds $4.3 million in back wages that may be owed to more than 5,000 workers in the Houston area.

The funds are part of an ongoing effort to ensure that workers receive the wages they are legally entitled to. The unclaimed wages come from employers who failed to pay workers in full, and the Department of Labor is now working to get that money into the hands of those workers.

The agency has rolled out the Workers Owed Wages (WOW) tool, allowing workers to check if they can claim back wages. The tool provides an easy-to-use interface for searching for unclaimed wages. Houston-based labor attorney Bryant Banes, managing partner at Neel, Hooper & Banes, P.C., explained the factors often at the heart of wage disputes.

“Usually, issues like this arise from a Department of Labor investigation, often focused on back pay owed due to overtime violations or employee misclassification,” Banes said. Misclassification can occur when workers are wrongly categorized as exempt or salaried employees or even as independent contractors instead of being classified as hourly workers eligible for overtime pay.

He pointed out that wage disputes may affect only specific groups of workers, often determined by the DOL. 

“This investigation likely targeted employees who were classified incorrectly, such as being paid a flat salary when they should have been earning hourly pay for all hours worked,” Banes said.

Banes also cautioned against a common misconception: that all workers affected by such investigations will automatically receive a portion of the back wages. 

“Not everyone across the board is going to get a portion of this,” he said. “The Department of Labor identifies the impacted employees and either notifies them directly or requires the employer to do so.”

The WOW tool, part of the Department of Labor’s broader initiative to enforce fair pay and labor practices, is designed to help workers recover wages from various industries, ranging from hospitality to construction, where wage theft is often prevalent. Many of the cases stem from employers failing to comply with labor laws related to minimum wage, overtime pay, or proper record-keeping.

Organizing Director of Teamster Local 988 Ricardo Hidalgo highlighted the broader impact of back pay awards. 

“Any worker that gets back pay—it’s not like they’re getting it for free. It’s their money in the first place,” Hidalgo said. “This helps workers and their families and also boosts the economy. We fully support these awards because they address injustices that workers often face when companies exploit loopholes to avoid paying fair wages.”

Hidalgo also praised the federal government and the DOL’s efforts to hold employers accountable. 

“Workers don’t have the same resources that companies do, like attorneys or HR departments,” he said. “Often, the only recourse they have is the Department of Labor’s Wage and Hour Division. It’s a long process—sometimes taking over a year—but it’s essential. Without the DOL, these corporations would keep that money, invest it, and profit, while workers continue living paycheck to paycheck.”

In addition to the federal tool, workers in Texas can also check with the Texas Comptroller’s office for unclaimed property, including wages and checks, rebates, and other financial items. The state office returned a record $422 million in unclaimed property for the 2024 fiscal year, which ended on September 30, continuing a strong track record of returns in recent years.

The Comptroller’s office reports that it has returned more than $1.5 billion in unclaimed property over the last five years. These funds range from small amounts of $25 to hundreds of dollars, and they can include money owed to individuals or even businesses.

While the federal website focuses specifically on unpaid wages, the Texas Comptroller’s unclaimed property database serves a broader range of financial claims. Texans are encouraged to search both resources to ensure they are not missing out on any owed funds.

Workers can visit the Department of Labor’s WOW tool or the Texas Comptroller’s unclaimed property site for more information about unclaimed wages or to search for owed funds.

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