Minimum Wages & Overtime Pay: Change in Statute of Limitations Would Better Protect Employees
HRD-92-144
Published: Sep 22, 1992. Publicly Released: Sep 22, 1992.
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Highlights
Pursuant to a congressional request, GAO reviewed the Fair Labor Standards Act (FLSA), focusing on: (1) the legislative history of the Portal-to-Portal Act; (2) Department of Labor Wage and Hour Division (WHD) estimates of the extent to which it obtained waivers of the statute of limitations in fiscal year 1991 FLSA back wage cases; and (3) a case study of Labor's 1986-1987 investigation of a grocery store chain.
Recommendations
Matter for Congressional Consideration
| Matter | Status | Comments |
|---|---|---|
| Congress should amend the Portal-to-Portal Act so that its statute of limitations tolls: (1) when a complaint is filed with Labor (for employees who file complaints); or (2) at the date Labor notifies an employer of the start of its investigation (for employees who do not file complaints but are found by Labor to be owed back wages). | Legislative action is not intended. |
Recommendations for Executive Action
| Agency Affected | Recommendation | Status |
|---|---|---|
| Department of Labor | The Secretary of Labor should: (1) assess the extent of inaccuracies in the amounts entered as back wages owed to employees (findings) in Wage and Hour Division Management Information System; and (2) take appropriate action to correct problems identified. |
The Wage and Hour Division has alerted all regional and district office personnel about the importance of entering accurate data into its management information database and the need to take additional care when recording back wage data into the system.
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Topics
BackpayInformation systemsInvestigations by federal agenciesLabor lawLabor relationsLitigationManagement information systemsOvertime compensationStatutory limitationWaiversEmployees