We'd rather that companies were honest, and yes the law should be enforced fairly and as on the books to keep the playing field for corporations level. But no, wage theft isn't a bigger problem than other theft.

Yes, wage theft is bigger numerically. But a reduction in wage theft is going to be mirrored by a drop in the amount of wealth available. By definition, the same or less work is being done for a higher cost; so by examining the net situation, someone is going to have less actual stuff (and I can say with confidence, it is not going to be the rich who do without). Increasing the cost of labour will put people out of work.

Wage theft is one of those victimless crimes where both parties have agreed that a situation is the best alternative and the government is declaring that they are wrong. It is a lot more delicate than, say, gay marriage, because all workers would prefer to have more money, and by far most workers would be happier if they didn't have to work. But, end of the day, just because the government says a worker is entitled doesn't mean the worker is truly unhappy with what they get. In an extreme case, I've worked in situations where I have been subject to wage theft (~10% lower compensation than I should have legally been getting), and I tried to keep that off anyone's radar because I wouldn't have had a job otherwise and I was being paid plenty.

Workers take the best option they have; possibly making that option uneconomic is not a good idea. This is not how, eg, China, is lifting people out of poverty.