Temporary Worker Rights in Indiana: What You Are Entitled To

Federal law provides temporary workers with comprehensive protections under the Fair Labor Standards Act (FLSA), 29 U.S.C. § 201 et seq., which applies to all employees regardless of employment duration. The FLSA establishes a federal minimum wage of $7.25 per hour and requires overtime compensation at time-and-a-half for hours worked over 40 in a workweek. Temporary workers are covered by these rules whether employed directly by a company or through a staffing agency. The Department of Labor (DOL) enforces the FLSA and investigates wage-and-hour violations.

Temporary workers also have protections under the Occupational Safety and Health Act (OSHA), 29 U.S.C. § 654, which requires employers to provide safe working conditions and prohibits retaliation against workers who report safety violations. Title VII of the Civil Rights Act of 1964, 42 U.S.C. § 2000e, protects temporary workers from discrimination based on race, color, religion, sex, or national origin, and these protections apply regardless of assignment length. The Americans with Disabilities Act (ADA), 42 U.S.C. § 12101 et seq., requires employers to provide reasonable accommodations to qualified temporary workers with disabilities.

Employers cannot deduct wages for uniforms, tools, or other business expenses that reduce a temp worker's pay below minimum wage. Temporary workers are also entitled to accurate wage statements and timely payment of all earned wages. Enforcement is conducted by the DOL Wage and Hour Division, which has authority to investigate complaints, conduct audits, and recover unpaid wages plus damages.

Indiana law treats temporary workers the same as permanent employees for most employment protections, but provides no additional state-specific rights that strengthen protections beyond federal minimums. Indiana Code § 22-2-2-1 establishes the minimum wage at the federal floor of $7.25 per hour—Indiana does not have an independent minimum wage above the FLSA minimum, so temporary workers receive the same floor as all workers nationally.

Under Indiana Code § 22-2-1-1 et seq., all employers must pay all earned wages in full and on time, without unlawful deductions. This applies equally to temporary workers employed directly or through staffing agencies. Indiana prohibits wage theft and requires employers to provide itemized wage statements. Violations can result in civil penalties and wage recovery.

Indiana Code § 22-3-2-1 provides that workers' compensation coverage applies to all employees, including temporary workers, from the first day of employment. There is no waiting period or minimum tenure requirement. This means temporary workers are entitled to workers' compensation benefits for work-related injuries, illnesses, or death, regardless of how long they have been employed. Coverage is mandatory for most employers.

Temporary workers in Indiana are at-will employees under common law, meaning they can be terminated at any time for any reason that is not illegal. Indiana has not created additional statutory protections unique to temporary employment status. However, temporary workers retain all federal and state anti-discrimination protections, whistleblower protections, and safety protections that apply to all employees. Staffing agencies and client employers can both be liable for violations affecting temp workers, depending on the nature of the violation and the degree of control each entity exercises.

Temporary workers in Indiana are subject to the at-will employment doctrine, which means employers can terminate them without cause, without notice, and without severance, as long as the termination is not for an illegal reason. This is a fundamental principle of Indiana common law and applies broadly to temporary workers. Employers cannot terminate temporary workers in retaliation for reporting safety violations, filing workers' compensation claims, serving on jury duty, or testifying in court, but absent these narrow exceptions, the at-will rule applies.

Indiana has no state law protecting temporary workers from at-will termination based on status as temporary, contract length, or staffing agency assignment. Some temporary workers may fall under the independent contractor classification if they meet certain criteria (control, investment, profit/loss opportunity), in which case they would not be employees and would not receive wage-and-hour or workers' compensation protections. However, misclassification as a contractor to avoid employment obligations is illegal and enforceable by the DOL.

The FLSA minimum wage and overtime rules do not apply to certain categories of workers, including some administrative, professional, and executive employees who meet specific salary and duties tests. If a temporary worker qualifies for an FLSA exemption, the employer need not pay overtime. However, exemptions are construed narrowly and the burden is on the employer to prove eligibility.

Workers' compensation coverage has specific statutory exceptions in Indiana Code § 22-3-2-2. Employers with fewer than three employees, certain agricultural workers, and some public employees may be exempt from coverage requirements. Additionally, independent contractors are not covered by workers' compensation. Temporary workers hired by third-party staffing agencies may be covered under the staffing agency's workers' compensation policy or the client employer's policy depending on the contractual arrangement and statutory interpretation, though Indiana law presumes all workers are employees absent clear indicators of independent contractor status.

Indiana does not provide additional paid leave, paid sick leave, or job protection for temporary workers beyond what is required federally. The Family and Medical Leave Act (FMLA) covers employers with 50+ employees within 75 miles, but temporary workers must meet FMLA eligibility requirements (12 months of service and 1,250 hours worked), which many temporary assignments will not satisfy.

Step 1—Document Everything: Keep detailed records of all hours worked, including start and end times, dates, and any breaks not paid. Save all pay stubs, wage statements, and communications from your staffing agency or employer regarding pay. Document any unsafe conditions, injuries, or discriminatory comments in writing with dates and witnesses. Take photographs of unsafe workplace conditions if possible. Save emails and text messages related to your assignment. This documentation will be critical evidence if you file a complaint.

Step 2—Use Internal Complaint Procedures: Before filing externally, notify your staffing agency and/or client employer in writing about the violation. Send an email or letter describing the problem (unpaid wages, unsafe conditions, discrimination, retaliation), the dates involved, and what you want resolved. Request a response within 7-10 days. Keep a copy of your complaint. Many violations are resolved at this stage, and documenting your internal complaint strengthens any later claim. If the employer is a large company, check whether it has a human resources department or employee hotline—use those channels formally.

Step 3—File a Government Complaint: For wage-and-hour violations (unpaid overtime, minimum wage violations, improper deductions), file a complaint with the U.S. Department of Labor Wage and Hour Division. You can file online at www.dol.gov/agencies/whd or call 1-866-4-USDOL (1-866-487-3652). Provide your name, contact information, employer/staffing agency name, dates of employment, hours worked, and description of the violation. There is no filing fee and no deadline to file, but filing sooner is better to preserve evidence. The WHD will investigate without disclosing your identity (you can request confidentiality).

For discrimination or harassment based on race, color, religion, sex, national origin, age (40+), or disability, file with the Equal Employment Opportunity Commission (EEOC). You can file online at www.eeoc.gov/file-charge or by mail to the Indianapolis Field Office at 101 W. Ohio St., Suite 1900, Indianapolis, IN 46204, or by phone at 1-317-226-7743. You have 180 days from the discriminatory act to file in Indiana (a non-deferral state for state civil rights). Provide a detailed description of the discrimination, dates, witnesses, and the employer/agency name. The EEOC will investigate and attempt to resolve the matter through conciliation.

For safety violations or retaliation for reporting safety issues, file a complaint with OSHA by calling 1-800-321-OSHA (6742) or filing online at www.osha.gov. You must file within 30 days of the retaliatory action. Describe the unsafe condition you reported, when you reported it, to whom, and how the employer retaliated (termination, reduced hours, negative evaluation). OSHA will investigate at no cost.

For workers' compensation injury claims, report the injury to your employer and/or staffing agency immediately. In Indiana, you must notify your employer within a reasonable time, and file a claim with the Indiana Workers' Compensation Board (IWCB) at www.in.gov/wcb or by phone at 1-317-232-3809. An employer delay in reporting does not waive your rights, but prompt reporting is advisable.

Step 4—Expect Investigation and Timeframe: After you file with the DOL, the agency typically contacts the employer within 1-2 weeks and may conduct interviews or request records. The agency will send you updates on progress. Most wage-and-hour investigations resolve within 3-6 months. The EEOC investigation is slower, typically taking 6-12 months or longer. If no resolution is reached, the EEOC will issue a right-to-sue letter (after 180 days of investigation if requested earlier) allowing you to file a private lawsuit. OSHA investigations typically conclude within 30-60 days. Workers' compensation claims are usually resolved within 1-3 months if straightforward, longer if contested.

Step 5—Consult an Attorney: If the violation involves significant unpaid wages (more than $5,000), discrimination, or retaliation and the employer is not cooperating, consult an employment attorney. Many employment lawyers work on contingency for wage claims, meaning they take a percentage of your recovery (typically 25-33%) and you pay no upfront fees. Contact the Indiana State Bar Association Lawyer Referral Service at www.inbar.org or call 1-317-639-5465. Provide your employment situation and the type of violation. An attorney can help you maximize your claim, negotiate a settlement, or represent you in litigation if necessary.