Human Resources News & Insights

Think you’re FLSA-compliant? Prove it, feds say

The DOL says it’s replacing its “catch me if you can” strategy with a new one that will require employers to prove to the government that they are complying with wage and hour laws.

The Department of Labor’s proposal has been dubbed the “Plan, Prevent, Protect” strategy. And, according to the feds, it’s going to put the burden on employers to obey the law — not on the DOL to catch them violating the law.

As a result, the DOL will start requiring employers to prepare and adopt written plans showing their compliance with wage and hour laws.

The proposal aims to cut down on companies that misclassify employees or don’t pay workers proper overtime.

Not only will employers have to put these plans into action, they will also have to prepare documentation on how they will identify and remedy wage and hour violations. Employers will then have to present those plans to both their own employees and the DOL.

There’s still time

Exact rules for the plans aren’t in place yet, and it could take up to a year to get everything hammered out.

However, it still looks like it’ll be a big headache for employers.

We’ll keep you posted.

What do you think of the DOL’s new Plan, Prevent, Protect strategy? Share your opinions in the Comments Box below.

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  • CM

    What a monumental waste of time! We should not have to prove we are innocent of labor violations when no charges have been made against us. For those who are in violation, just because someone has a written policy it doesn’t mean that they will comply with it.

  • Theresa

    Another one of Obama’s “boot on the neck” policies that will do nothing to help the economy so that employers can even hire the employees that they think we’re taking advantage of in the first place! Oh brother!

  • Chuck

    It is a basic tenet of American law that one is presumed innocent until proven guilty. Why is HR law the exception?

    I am quite concerned this is the beginning of a slippery slope that will lead us down a path we don’t want to end up at.

    DOL’s unfriendly approach will surely cause jobs to be exported to other countries. Those who piloted the 9/11 airplanes would be so proud of their allies. Such regulation accelerates the rate of decline of our nation.

  • Chuck

    It is nice to see my opinion is shared by others.

    HR has been incessantly whining about a ‘seat at the table’. Fighting this regulation to the death would be a big step toward earning that seat.

    Sadly, too many HR practitioners welcome more regulation b/c it justifies their existence: More regulation = more paperwork = more HR jobs.

    This idea is bad for HR and bad for US business. Let’s resist it wholeheartedly.

  • don

    I would assume that most of us in HR do not dabble in the caverns of payrole. Most of us, I assume that if we do, we know what the laws are and abide by federal, state and local laws. End of story but not quite. There are some companies, albeit only a few, do not pay overtime properly, mandate to the employies no overtime, yet the employees work overtime with the “atta-boy” pat-on the back given by their supervisors, or do not pay overtime correctly cheating the employee of proper pay and to the betterment of the company. To go a bit further, some companies pay overtime based on an 80 hour pay period, not a 40 hour work week. Is it necessary for the federal government to spend millions in order to catch those few that cheat the employee or is it up to the employee to know if he or she is being cheated out of their rightful pay and knowing the law and what to do. One other point: shouldnt HR teach employees the high points of the law regarding hours, pay, benefits etc., or not say anything? Sounds like to me that Obama is going after the ant when there are elephants that needs attention.