Women's Rights Advocate Exploits Women?
January 12, 2015 2:36 PM   Subscribe

A trouble-making colleague "helped" me discover I'm being paid app. 100% less than the last two people who did my job. I've only been in the position for about 4 months. My boss "Karen" is a big women's rights advocate, and important political connector. Coincidentally, I'm a woman, too. How do I handle this?

I'm an experienced writer/editor/researcher with 15 years experience who suffered much rough-and-tumble during the recession. This resulted in lots of relocation, long periods of unemployment, and badly dented confidence. I eventually ended up in NYC, and was running out of money when an indirect connection advertised a job on social media. The next thing I knew I was interviewing for a writer-editor position, with occasional light assistant duties. During the interview my now-boss asked about money, and said they were aiming for $18/hour. For all the aforementioned reasons I said that was fine. A few hours later when the job was offered by phone, I talked them up to $20/hr. Two days later I started work.

Then I privately melted down. I made $20/hour 20 years ago. But I desperately needed a job, and was carrying a lot of debt by then. A New York friend also assured me the rich-poor dynamics of New York meant they could pay what they wanted, so even if I'd asked for more I likely wouldn't have gotten it. Also, despite much research I could not figure out a fair market value for my skill set in this new city. Finally, all negotiation went through my immediate chronological predecessor, and I assumed they were offering more or less what she made. Note, however, as soon as they hired me they rid me of all her secretarial duties.

Shortly before my first check was due, my boss told me I was going to be paid as a 1099. I balked, but not aggressively. My boss, meanwhile, blamed the controller for my 1099 status. Somewhere around then, too, I was told that I would be paid for the political parts of my job under the table, so my boss would have no legal conflict of interest. I'm old enough to care that this meant that portion of my salary would not be going to social security.

In the first few months, I kept getting paid late, and there were repeated mix-ups with my checks. They were, however, always resolved, and always in my favor. I realized at some point that I had been given a 20% raise, without anyone ever mentioning it.

Fast forward to last week, when the controller, a regular source of unbelievably vicious gossip about the boss--trysts, bad decision-making, general stupidities--invited me over to meet "Rick" who had previously held my job. I have a very friendly relationship with the controller, but always take firm care never to say anything to her that I wouldn't want repeated. She has a strong penchant for melodrama, and is indiscreet and disloyal to the boss to a degree I find extraordinary. Anyway, Rick affirmed that he'd made $40/45/hour doing the same job, and his predecessor "Amy" made $60,000 salary + benefits, again, doing my job. He also made no bones about the fact that he loathed my boss, thought her dishonest, found the on- and off-the-books checks I was getting was incredibly shady, and thought I needed to ask for an increase.

If I had my druthers, I could see finishing out the year there. In general, I like the staff, the atmosphere, the flexi-time, and the freedom to come and go. In many ways, I also think my boss is an excellent boss. She points out errors, but doesn't dwell. She praises generously. She explains things clearly. She loves my writing. But the work itself doesn't thrill me; I've long wanted to get out of a text-based profession.

In the meantime, my health insurance costs just went up. Despite being a contractor, I am nearly always expected to work on-site, with all the associated costs of clothes, food, and transit.

So what should I do with this information? I'm not willing to walk away from the job until I clear all of my debt, which will take a couple of more months, basically. But I also feel like a fool. Any advice?
posted by anonymous to Work & Money (19 answers total) 4 users marked this as a favorite
 
Take notes, document the under-the-table stuff, wait until your debt is cleared and/or you get another job, then report everything to the IRS, including the likely fake designation as a contractor. Or if you feel like it and haven't found another job yet, threaten to report everything to the IRS (and if she has a public profile, the media) if she doesn't double your salary, take the doubled salary until you find another job, then report everything to the IRS (and media if you want).
posted by the agents of KAOS at 2:41 PM on January 12, 2015 [2 favorites]


If you're not willing to walk away from this job, then sounds like you're just going to have to deal with quite a bit of the mess.

Start out by demanding more money. You agreed to the salary as a full-time employee, and your contractor rates are understandably much higher in order to deal with things like insurance that you're not receiving through the company. The company has gone back on your employment status, therefore your requirements have changed as well.

Incidentally, what people made before you is a poor indicator of how they currently value the position, so the fact that "Amy" and "Rick" previously made more than you doesn't mean much at all. Companies downsize their budgets all the time.

This still all sounds shady as hell, and I'm sorry you feel stuck in such an awful situation. I hope you're using your spare time to try to find a new position as quickly as possible.

(Also, if your predecessor "Amy" was a woman and she made much more than you as a full time employee with benefits, then they're not "exploiting women," they're exploiting you and how badly you needed the job.)
posted by erst at 2:42 PM on January 12, 2015 [8 favorites]


:"So what should I do with this information? I'm not willing to walk away from the job until I clear all of my debt, which will take a couple of more months, basically. But I also feel like a fool. Any advice?"

Your friend who said that they could pay what they wanted this type of position is likely still correct. Based on the sketchy nature of your paychecks, I suspect that they can't afford to pay you much more than they already do. You aren't a fool, you are just in a sketchy job situation, which frankly, is better than a shitty job situation (or a no job situation). You couldn't have been expected to know any of this going in, so you can either bail or put up with the sketch until you find something better. I suppose it doesn't hurt to ask for a raise, but you did agree to the $20/hr four months ago, and they've already bumped you up in the meantime, so I wouldn't be too optimistic.
posted by Rock Steady at 2:48 PM on January 12, 2015 [4 favorites]


Or if you feel like it and haven't found another job yet, threaten to report everything to the IRS (and if she has a public profile, the media) if she doesn't double your salary, take the doubled salary until you find another job, then report everything to the IRS (and media if you want).


Ignore this advice. It's blackmail, and punishable by prison time in the US.
posted by justkevin at 2:51 PM on January 12, 2015 [25 favorites]


Start looking for a new job, one that pays you what you're worth. If you've been there nearly a year, you can approach this from, "It's been almost a year and it's time to address my current pay. I was hired as full-time with benefits, then that changed, and frankly I would like to get an increase in pay to compensate for being a contractor."

As for the rest of it, pretend you never heard it. There's nothing you can act on there. Frankly, as soon as someone mentioned paying me under the table for stuff I would have headed for the exits, let alone late paychecks.

If you want to feel secure, get a second job so that if this one tanks (and from what you're describing, it's circling the drain as we speak) you're not vulnerable or desperate.

Hang in there, but get out of there...if you follow my meaning.
posted by Ruthless Bunny at 2:57 PM on January 12, 2015 [3 favorites]


I agree with justkevin except to say it's extortion, not blackmail, but yeah, no, do NOT do that.
posted by janey47 at 3:06 PM on January 12, 2015 [6 favorites]


Any advice?

From an employer's perspective, the optimal compensation for an employee is the lower of the following two numbers:
  1. The minimum amount of money necessary to keep you as an employee.
  2. The amount of money necessary to find a replacement.
Note that your coworker's compensation doesn't factor into this. If you are willing to work for a small amount of money, then you will be paid a small amount of money. If you want to be paid a larger amount of money, you need to make the price of 1. higher. In other words, you need to be willing to leave your employer if they don't increase your pay.

I'm not willing to walk away from the job until I clear all of my debt, which will take a couple of more months, basically.

Then your employer will not increase your pay unless you are an amazing bluffer.

So what should I do with this information?

Nothing. Your coworkers' compensation has nothing to do with you. There are replies here mentioning discrimination, but wage discrimination is not illegal. Sexual discrimination is illegal, but it's almost impossible to prove (especially with a female boss). Even if you were to prove it, you would have to sue your employer for them to increase your pay as a result of the sexual discrimination, which will make you significantly less employable in the future.

Your employer can still increase your pay because you will leave if they don't - but, again, that has nothing to do with your coworker's pay, nor does it have anything to do with discrimination.

But I also feel like a fool.

The way to fix this is to make yourself more valuable in the future. You are a valuable employee. Your focus on other people is inappropriate - would you actually feel better if all of your coworkers were paid the same as you? I hope not, because ideally you are paid as much as you can manage, regardless of what other people make.
posted by saeculorum at 3:21 PM on January 12, 2015 [1 favorite]


So what should I do with this information? I'm not willing to walk away from the job until I clear all of my debt, which will take a couple of more months, basically. But I also feel like a fool. Any advice?

I don't think you were a fool for securing a position that would allow you to pay off your debts using valuable professional skills. It's not wrong to trust other people to be honest and upfront. That "whoops you're a contractor" shit is shady as hell, and it's wrong. Like, they knew it was wrong when they were doing it, and they shouldn't have done it. You weren't wrong for taking it; you had your back against a wall.

Look for a new job that pays more, pay off your debts so you can get away from these awful people, and move on without thinking twice. They don't value you, so you should focus on valuing yourself.
posted by Snarl Furillo at 3:32 PM on January 12, 2015 [5 favorites]


Start looking for another job.

Document the hell out of everything: every late check, every instance that shows you're actually an employee rather than a contractor, and so forth. (You're probably a real employee, not a contractor: it's a common scam to get out of paying benefits & payroll taxes. Requiring you to work on-site is definitely one factor the IRS would consider in your being an employee.)

When you get another job, and not before, go to the State Labor Commissioner's office and file a claim for back wages (if they concur there's a claim to be made). If you do this, accept that you should never use this job as a reference and you should probably purge it from your resume.

The only reason employers get away with this crap is because people are afraid to challenge them on it.
posted by suelac at 3:34 PM on January 12, 2015 [3 favorites]


I have worked at places where the women got paid less because they did not negotiate. You may have heard of them. This sucks. You've made it clear that you want to stay for a while and pay down debt and I agree with other people, that is a good tactical move. That said, after the debt paydown period you have some more wiggle room. If it were me, I'd do this.

- have a convo with your boss and explain the things you now know (broadly, vaguely) in friendly terms and be all "So hey I am not actually that stoked with being paid 1099 money and also having to work here as if I was an employee" and ask if there are accomodations that you can get (working at home, whatever)
- ask for a game plan of getting back up to your expected level of pay (i.e. if you had not been a 1099 employee) and no under the table work, and a firm timeline
- if they get weird about it, basically go back to step one "OK if I am a contractor I am going to need to act more like one" (and then work from home, have flex time, whatever)

I am sorry this is a stressful time with you, but I'd try to separate what you can reasonably expect and want from your job and what you might want in a just and fair world but which is maybe not where you are right now. You can always stick it to them for paying people under the table when you are out of debt and when you are further away from them. I agree, it sounds like a sick system and I'd be making plans to exit it.
posted by jessamyn at 4:11 PM on January 12, 2015 [3 favorites]


Do you understand that since you're being paid on a 1099, nothing is being paid into Social Security on your behalf and no other taxes are being withheld? You will have to come up with all this money yourself when you file your taxes next April.

In the future you should not let employers classify you as a contractor. It is usually illegal, and you are letting yourself get screwed big time if you do it.
posted by alms at 4:17 PM on January 12, 2015 [14 favorites]


Yeah, this doesn't seem to have much to do with gender as it does to do with the fact that you're getting screwed by dishonest people in a way that may violate several local and federal laws (IAAL, IANALabor&EmploymentL, TINLA). I agree, keep this job for the bare minimum length of time that you need it in order to find another job. Then quit. Then call the federal and local departments of labor to inquire about filing complaints for wage and hours violations, tax violations, improper classification as a contractor, back Social Security contributions, and any other violations the Department of Labor can think of. Consider consulting an attorney of your own to determine whether or not you have a case for additional damages or whether there's anything else you need to do to make sure that this hasn't screwed up your taxes or your retirement.

Do not threaten anyone. Do not make any tit-for-tat deals with these people. Just get out, and then work with the authorities to get your money back.
posted by decathecting at 4:22 PM on January 12, 2015 [3 favorites]


I would stress that whatever you do, even if you aren't looking for personal relief, that you should report this at some point. Even if you don't want to deal with it, you will be protecting future employees from facing the same issue.
posted by gryftir at 6:35 PM on January 12, 2015 [3 favorites]


Unless your duties require it for some reason, I would also attempt to parlay my 1099 status into work-from-home (or -coffeshop or -co-working space or -wherever) privileges for the rest of your time there. As long as you're getting screwed like a contractor, you might as well work like one too.
posted by pullayup at 6:44 PM on January 12, 2015 [2 favorites]


And don't forget to sign up for healthcare on the NY State Exchange. Open enrollment for coverage starting February ends this Friday! You may be eligible for subsidies.
posted by brookeb at 6:45 PM on January 12, 2015 [2 favorites]


This is horrible. I'm so sorry you're dealing with this! Ugh.

Your boss sounds like she's making unethical and irresponsible decisions. And legally, it is probably not correct for you to be treated as an independent contractor (You are not an independent contractor if you perform services that can be controlled by an employer (what will be done and how it will be done). This applies even if you are given freedom of action. What matters is that the employer has the legal right to control the details of how the services are performed.')

On the other hand, as you're all too aware, the "market" (such as it is) for writer/editor/researchers has completely tanked in the last decade. Your choices may actually be very limited. I understand that this feels horrible.

It seems like in the long-run, your choices are to keep looking for a unicorn of a better job that pays you a fair, living wage and benefits, or look into doing a different kind of work (perhaps technical writing or something that your established skills would help with?)

In the mean time, you probably should stick with this job while you decide and look.

I'm so sorry. There is an injustice in your workplace and an injustice in the larger world that good writers are not getting paid enough to live on.
posted by latkes at 8:27 PM on January 12, 2015


Do you really know if what they said is true? They hate your boss and the controller is a shit stirrer. What would it look like if you acted on this unconfirmed information? They can deny the conversation ever took place and you could end up unemployed.

I would tread very carefully, consider their motives for sharing this info and take care of yourself.

In a similar situation I found out after leaving the job that everyone I had interacted with was lying about one thing or another.
posted by cairnoflore at 11:01 PM on January 12, 2015 [1 favorite]


Everyone is right, the second part of my answer (threatening to report) was stupid and you shouldn't do that. The first part, reporting her to the IRS for the under the table money and for probably being mislabeled as a contractor, is still worth doing though.
posted by the agents of KAOS at 12:34 AM on January 13, 2015


I'm being paid app. 100% less...

Well no, 100% less than the previous person's pay would be $0.

You're getting 50% less, or 50% of the amount they got, or they were making 100% more than you are.
Percentages suck for this kind of comparison: when you bring this up with your boss, who is obviously shafting you, just say you're on half-pay and they need to fix it.
posted by w0mbat at 3:02 PM on January 13, 2015


« Older Navigating simultaneous job offers from competing...   |   How do I make a full mug of AEROPRESS coffee? Newer »
This thread is closed to new comments.