The Department of Labor announced last week that it recovered over $1 million for workers who had been underpaid by a federal contractor because it misclassified its workers who were covered by the Service Contract Act. Getting workers properly classifed is not easy, so here’s a brief overview of how one should approach the task.
Read MoreThe Department of Labor announced the approval of a settlement of a subcontractor’s Davis-Bacon violations. The subcontractor’s close brush with debarment, the cost of a post-settlement compliance monitor, and the fact that the investigation lasted nearly three years all demonstrate the value of effective compliance efforts.
Read MoreThe Wage and Hour Division (“WHD”) of the US Department of Labor (“DOL”) announced last week a three-year “collaborative agreement” with a union to educate workers and identify labor law violations. Is this an unfair thumb on the scale? Hopefully not, but this agreement arguably erodes the degree of independence that should accompany the Government’s enforcement of employment laws.
Read MoreThe DOL and IRS effort to fight misclassification of independent contractors soldiers onward here in 2023.
Read MoreWhen we’re assisting clients respond to Department of Labor investigations, one question that regularly comes up is “what can I say to my employees about all this?” We may have a range of suggestions depending on the circumstances, but we’ll never advise you to hire a fake priest to dupe employees into confessing workplace sins.
Read MoreThe Department of Justice makes an inflationary adjustment to Civil Money Penalties for the second time in six months.
Read MoreThe Department of Labor announced yesterday the Wage and Hour Division plans to hire 100 investigators this year. For sure, they’ll be earnest and energized. That’s why a solid grounding in the wage and hour laws affecting the government contractor community will be a powerful tool to ensure you get a fair shake.
Read MoreThe Department of Labor released Field Assistance Bulletin 2021-2 returning the department to the prior practice of seeking pre-litigation liquidated damages in the majority of cases.
Read MoreU.S. Department of Labor decides to end the Payroll Audit Independent Determination program because they believe that worker are entitled to every penny they earn and the program allowed employers to escape liquidated damages and civil penalties.
Read MoreCan you get debarred and lose your federal contracts for a Service Contract Act violation? In a word, yes. However, proactive contractors can minimize the consequences of an otherwise honest mistake—the commission of which is not uncommon.
Read MoreThe blizzard of COVID-19 related contracting activity poses considerable compliance risks. But, federal contractors shouldn’t be discouraged to be a part of our shared national mission to cope with this pandemic—just hurry up and wait long enough to consider how you’re responding under the circumstances. By doing so, hopefully you can avoid the painful question “what were they thinking?”
Read MoreResponding to Department of Labor investigations is not a simple exercise. While you are required to cooperate, provide documents and access to employees, you are not obligated to accept an investigator’s findings and you can question them. But, before you push back, be thoughtful. And,don’t forget to check the math.
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