File a Wage Payment and Collection Complaint. The Wage Payment and Collection Law requires employers to pay employees the communicated pay rate and schedule.Your employer is not legally permitted to withhold your pay, even if you quit. You must withhold Social Security and Medicare taxes from your employees' wages. Can I Recover a Withheld Paycheck in Pennsylvania? Your employer cannot withhold your paycheck from you under any circumstances. This state-specific guide covers labor and employment case law, statutes, rules, and regulations that HR professionals and clients often encounter Employers are required to withhold taxes from paychecks for any Pennsylvania resident employees or nonresident employees working within state boundaries. Pennsylvania Pay Deductions. This could add up to a significant sum, especially if the employer withheld pay or underpaid their workers for several years.