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Alicia Koepke, shareholder with Trenam Law in Tampa, Florida.

Recently, the Wage and Hour Division (WHD) of the Department of Labor (DOL) announced a pilot program, called the payroll audit independent determination (PAID) program, to facilitate the payment of back wages owed to employees and accidentally not paid by employers in accordance with the Fair Labor Standards Act (FLSA). The DOL’s goal in initiating the PAID program is to resolve FLSA violations “expeditiously and without litigation.” To encourage employers to self-report their violations in accordance with the program, the WHD assured employers that it will not require the payment of liquidated damages or civil monetary penalties by employers who participate in the program, although it will require the employers to pay all back wages owed (i.e., all minimum wage and overtime pay owed).

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