Payroll Audit Independent Determination (PAID) Program

The U.S. Department of Labor today announced that it has ended the Payroll Audit Independent Determination (PAID) program, effective immediately. PAID, launched by the Department’s Wage and Hour Division (WHD) in 2018, allowed employers to self-report minimum wage and overtime violations under the Fair Labor Standards Act (FLSA) without facing litigation, penalties or additional damages. The program also prohibited affected workers from taking any private action on the identified violations.

For employers who seek assistance understanding their responsibilities under wage and hour laws, WHD provides significant outreach and educational resources, which help them achieve compliance without relieving them of their legal obligations. These resources also ensure that workers understand their rights.

The Wage and Hour Division investigates violations of the FLSA to ensure that employers comply with their obligations. When enforcement actions are necessary, the FLSA provides for the payment of back wages and liquidated damages to workers, and the assessment of civil money penalties when the agency determines the violations to be repeat or willful. The FLSA also gives workers the right to pursue private legal action against employers for back wages and damages. 

Employers and workers are encouraged to call a WHD office in their area for help with FLSA compliance. Calls are confidential. For more information about the FLSA and other federal wage laws, call the Wage and Hour Division’s toll-free helpline at 866-4US-WAGE (487-9243) or visit http://www.dol.gov/agencies/whd/.