Return of the PAID Program: Here’s What Employers Need to Know as DOL Reinstates Back Wage Payment Option
The US Department of Labor’s latest update rewards employers that proactively resolve potential wage and hour claims and obtain approval of their investigation and resolution . The DOL’s Wage and Hour Division first introduced the Payroll Audit Independent Determination (PAID) Program in 2018 , but it was shut down in 2021. Yesterday’s news that the program has now officially returned follows several other big changes from the DOL: the reboot last month of the opinion letter program, a general reduction in WHD staffing levels, and an announcement earlier this month that it would not seek liquidated damages in pre-litigation settlements. T he PAID program’s revival highlights the value of employer self-audits and proactive handling of potential wage claims. Here’s what you need to know about it and how it might benefit your organization. Background The 2018 PAID program was instituted to encourage self-audits of pay practices, and applied to Fair Labor...