Ensuring Workers Get PAID Act of 2025

Summary

Creates a permanent Payroll Audit Independent Determination (PAID) program at the Department of Labor that lets employers voluntarily self-audit and remediate inadvertent Fair Labor Standards Act (FLSA) minimum-wage and overtime violations within the statute of limitations. Employers must submit a self-audit, payroll records, employee contact info, calculations of unpaid wages/overtime, and assurances (including that they are not under related litigation or DOL investigation) and that impacts covered employees have been corrected; the Wage and Hour Administrator reviews applications and manages the remediation process.

• Creates a DOL-administered PAID program for voluntary employer self-audits to remedy FLSA minimum-wage and overtime violations within the statute of limitations.
• Requires employers to submit detailed self-audit materials, payroll records, unpaid-wage calculations, and employee contact information to apply.
• Employers must certify good-faith conditions: not under DOL investigation or litigation over the identified practices and that violations have been corrected.
• Excludes employees covered by H-1B, H-2A, H-2B prevailing-wage rules and those under Davis‑Bacon or Service Contract Act from the PAID listed-employee process.
• DOL must publish employer compliance resources within 30 days of enactment and the Wage and Hour Administrator reviews and consults on applications.
• Findings cite a PAID pilot that produced higher back-wage recoveries and greater efficiency than traditional enforcement in several measures.
• The bill focuses on remediation and payment to employees rather than imposing new penalties; it does not specify new funding in the provided text.
• The program aims to reach employers and employees that might not be prioritized in traditional enforcement channels, expanding options for resolution.