Ensuring Workers Get PAID Act of 2025

IntroducedJuly 14, 2025

Introduced1 year ago

Intro

Senate

House

Pres

Introduced in Senate

Labor and EmploymentAccounting and auditingAdministrative remediesDepartment of LaborEmployment discrimination and employee rightsLabor standardsLabor-management relationsPersonnel recordsWages and earnings

Why This Matters

This bill sets up a permanent program in the Department of Labor to help employers voluntarily find and quickly pay unpaid minimum wages or overtime owed to workers under the Fair Labor Standards Act of 1938 (FLSA). It creates clear steps for applications, reviews, and settlements between employers and affected employees.

Who this affects

Employers · Employees

What changes is this bill making?

1Establishes the Payroll Audit Independent Determination (PAID) program in the Department of Labor to resolve inadvertent FLSA violations.
2Requires employers to submit a self-audit showing practices that may underpay wages or overtime and a list of affected employees with calculations and contact information.
3Directs the Wage and Hour Division Administrator to review applications, verify calculations, and approve eligible cases within 30 days if the employer acts in good faith.
4Approved employers must offer settlements to affected employees, who can accept or decline without losing the right to sue if they decline.
5Acceptance of a settlement means the employer pays all owed amounts and the employee waives the right to a private lawsuit for those specific violations.
6Protects employers by barring use of application information in investigations or court without consent, prohibits program fees, and limits the scope of review to identified violations.
7Adds to FLSA anti-retaliation rules to forbid retaliation against employees for accepting or declining a PAID settlement offer.

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Last changed 5 months ago · checked hourly

Ensuring Workers Get PAID Act of 2025

IntroducedJuly 14, 2025

Introduced1 year ago

Intro

Senate

House

Pres

Introduced in Senate

Why This Matters

Who this affects

Employers · Employees

What changes is this bill making?

1Establishes the Payroll Audit Independent Determination (PAID) program in the Department of Labor to resolve inadvertent FLSA violations.
2Requires employers to submit a self-audit showing practices that may underpay wages or overtime and a list of affected employees with calculations and contact information.
3Directs the Wage and Hour Division Administrator to review applications, verify calculations, and approve eligible cases within 30 days if the employer acts in good faith.
4Approved employers must offer settlements to affected employees, who can accept or decline without losing the right to sue if they decline.
5Acceptance of a settlement means the employer pays all owed amounts and the employee waives the right to a private lawsuit for those specific violations.
6Protects employers by barring use of application information in investigations or court without consent, prohibits program fees, and limits the scope of review to identified violations.
7Adds to FLSA anti-retaliation rules to forbid retaliation against employees for accepting or declining a PAID settlement offer.

Read full document

Last changed 5 months ago · checked hourly