DOL gets free pass when suing employers for wage violations — Business Management Daily: Free Reports on Human Resources, Employment Law, Office Management, Office Communication, Office Technology and Small Business Tax Business Management Daily

DOL gets free pass when suing employers for wage violations

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in Human Resources

Employers, beware: The 11th Circuit Court of Appeals has just made it much easier for the U.S. Department of Labor (DOL) to file lawsuits against employers. All the DOL needs to do is file a complaint alleging unpaid wages.

Recent case: The DOL filed a federal lawsuit against a Florida contractor, alleging the company didn’t keep good records and hadn’t paid all employees the wages they were owed. The complaint had no specifics, and the employer got the case dismissed.

But the 11th Circuit reinstated the lawsuit and said the DOL could get the information to support its claims during discovery. That will be very costly for the employer. If it turns out there were no violations, it will still have paid thousands in fees. (Secretary of Labor v. Labbe, No. 08-12120, 11th Cir., 2008)

Final note:
Good records keep the DOL investigators away.

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