(a) If the commission examiner, a wage claim appeal tribunal, or the commission determines that an employer acted in bad faith in not paying wages as required by this chapter, the examiner, tribunal, or commission, in addition to ordering the payment of the wages, may assess an administrative penalty against the employer.
(b) If the commission examiner, a wage claim appeal tribunal, or the commission determines an employee acted in bad faith in bringing a wage claim, the examiner, tribunal, or commission may assess an administrative penalty against the employee.
(c) An administrative penalty assessed under this section may not exceed the lesser of:
(1) the amount of the wages in question or claimed; or
(2) $1,000.
(d) In determining the amount of an administrative penalty assessed under this section, the commission examiner, a wage claim appeal tribunal, or the commission shall consider:
(1) the seriousness of the violation;
(2) the history of previous violations;
(3) the amount necessary to deter a future violation; and
(4) any other appropriate matter, including mitigating circumstances.
Official text of the Texas Labor Code as published by the Texas Legislative Council.