Department of Labor Audits
Any given Department of Labor (DOL) audit can focus on any facet of employment law in a targeted business. While these audits can occur at any time and businesses should always be vigilant, no matter the probability of such an audit, they typically result from an employee complaint.
There is little advanced notice, and DOL auditors will not reveal whether the audit was agency initiated or due to a complaint. Even if there is a complaint, auditors will not identify who complained to avoid the possibility of a biased investigation or any potential retaliation. The Department of Labor may not have targeted your business specifically. These audits often may be the result of ‘sweeps’ of suspected non-compliance, focusing on low-wage industries.
The Fair Labor Standards Act (FLSA) has specific mandates that employers must adhere to and there are commercially available tracking systems that fulfill the requirements of the FLSA. Such management systems can go a long way towards keeping your business in compliance and allow for a smooth process in the event of a DOL Audit.
Auditors, investigations and audits universally create an atmosphere of stress. To set yourself at ease in the event of a Department of Labor Audit, it is recommended that employers be prepared by conducting periodic quality assurance self checks.
These self checks could include:
– Reviewing FLSA classifications & company job descriptions
– Understand the difference between Federal and State application of relevant laws
– Assure accurate payroll records and equitable application of company policies
– Check for complete records
– Have a plan for resolving any discrepancies identified by your quality assurance review
As a Connecticut employment business, you need the services of an experienced, trusted Connecticut Employment lawyer—like Licari, Walsh & Sklaver, LLC. As a prudent precaution, it is recommended that your business consult our law firm prior to turning over any documents and to verify the credentials of investigators. In an effort to clarify the scope of the investigation, politely insist on written requests from DOL auditors for specifics.
Above all, it is important to be cool, collected and reasonably accommodating in the face of any Department of Labor Audit. Then contact us at Licari, Walsh & Sklaver, LLC.