On March 6, the U.S. Department of Labor’s (DOL) Wage and Hour Division (WHD) announced the launch of the Payroll Independent Audit Determination (PAID) program, a nationwide pilot program to assist employers in expediting the resolution of inadvertent overtime and minimum wage violations under the Fair Labor Standards Act.

According to the DOL, the program’s primary objectives are to resolve such claims expeditiously and without litigation, improve employers’ compliance with overtime and minimum wage obligations and ensure that more employees receive the back wages they are owed—faster. To learn more about the pilot program and who can participate, click here. 

The pilot program will be implemented for approximately six months nationwide. Following that, the WHD will evaluate the effectiveness of the PAID program and consider different options for moving forward.

Further, the DOL press release states that employers may not participate in the PAID program if they are in litigation or currently under investigation by WHD for the practices at issue. Employers likewise cannot use the pilot program repeatedly to resolve the same potential violations, as this program is designed to identify and correct potentially non-compliant practices.

For more information, employers can visit the PAID program page on the DOL website.