Companies Short Freelancers $4.7B in New York Last Year

New York seems to have a problem paying its freelancers. This issue is costing local freelancers around $4.7 billion a year, according to a new study by Rutgers University.

It’s a problem that affects 42 percent of the 900,000 independent workers in the Empire State. What’s worse is the average amount that companies withhold. The study concluded that companies that owe money, on average, are shorting freelancers $12,000 in back pay.
Of course, when this happens, freelancers have trouble fighting for pay because of their limited resources. Plus you don’t want to get the reputation of being a tough to handle. But if I was owed that much, it seems more than worth it to fight.

According to Crain’s New York Business, which first reported the study, the New York state legislature is now considering laws that would leave the freelancers more options when fighting these truant clients. These options would include new claim options and harsher penalties against companies that refuse to pay up.

Is it really too much to ask to get paid for the work you completed? Come on editors, hand out those checks.

Photo by stopnlook