U.S. Department of Labor Encourages Municipalities to Participate in PAID Program

WASHINGTON, DC – The U.S. Department of Labor today announced that Acting U.S. Secretary of Labor Patrick Pizzella is sending letters to state and local governments encouraging their participation in the Wage and Hour Division's PAID program.

The Wage and Hour Division's (WHD) nationwide PAID program facilitates resolution of potential overtime and minimum wage violations under the Fair Labor Standards Act (FLSA). The program's primary objectives are to resolve issues expeditiously and without litigation, to improve employers' compliance with overtime and minimum wage obligations, and to ensure that employees receive the back wages they are owed—faster.

Employers are encouraged to conduct audits and, if they discover overtime or minimum wage violations, to self-report those violations through PAID. WHD does not impose penalties or liquidated damages to finalize settlements for employers who choose to participate in the program, as they proactively work with WHD to resolve their compensation errors, and move quickly to provide 100 percent of the back wages due to their affected employees.

"State and local governments that have participated in the PAID program have been able to successfully make their workers whole," said Acting Secretary Pizzella. "The Department wants to ensure that all municipalities are aware of this opportunity to correct any inadvertent violations they may discover. We want employers to be proactive about compliance, and we should be ready to offer our resources to those who want to do it the right way. The efficiencies created by this program enable WHD to recover more wages for American workers by focusing on egregious violators. PAID is a win for employees, employers and taxpayers."

"Early testimonials from employees and employers continue to indicate that the results are overwhelmingly positive," said Wage and Hour Division Administrator Cheryl Stanton. "The PAID program has been achieving its goal of getting back wages into the hands of employees more quickly."

For more information about the FLSA and other laws enforced by WHD, contact the Division's toll-free helpline at 866-4US-WAGE (487-9243). Information is also available at https://www.dol.gov/whd including a search tool to use if you think you may be owed back wages collected by the Division.

The mission of WHD is to promote and achieve compliance with labor standards to protect and enhance the welfare of the Nation's workforce. WHD enforces federal minimum wage, overtime pay, recordkeeping, and child labor requirements of the Fair Labor Standards Act. WHD also enforces the Migrant and Seasonal Agricultural Worker Protection Act, the Employee Polygraph Protection Act, the Family and Medical Leave Act, wage garnishment provisions of the Consumer Credit Protection Act, and a number of employment standards and worker protections as provided in several immigration related statutes. Additionally, WHD administers and enforces the prevailing wage requirements of the Davis Bacon Act and the Service Contract Act and other statutes applicable to federal contracts for construction and for the provision of goods and services.

The mission of the U.S. Department of Labor is to foster, promote, and develop the welfare of the wage earners, job seekers, and retirees of the United States; improve working conditions; advance opportunities for profitable employment; and assure work-related benefits and rights.

The Office of Compliance Initiatives is part of the Department of Labor's Office of the Assistant Secretary for Policy, and fosters a compliance assistance culture within the Department designed to complement its ongoing enforcement efforts. This office focuses on helping enforcement agencies more effectively use online resources to deliver information and compliance assistance to help the American people. OCI launched Worker.gov and Employer.gov to provide information about workers' rights and the responsibilities of job creators toward their workers.