When preparing for a Department of Labor Wage & Hour Audit, business owners should:
• Gather, organize, and review payroll records before the auditor arrives (An auditor may inspect employer payroll records for the past two years, reviewing both current and former employees.)
• Provide a private room available only to the employer and the auditor during the audit
• Make sure that all labor law posters are up-to-date and clearly visible an in a common area
• Review time tracking procedures and devices to determine accuracy
When preparing for a Department of Labor Wage & Hour Audit interview, business owners should:
• Familiarize themselves with all job titles
• Be able to explain job categories exempt from overtime and the basis for those decisions
• Know-how employee wage garnishments are calculated, maintained, and paid
• Be able to explain shift rates, time recording procedures, and how overtime is paid
• Know whether and how new employees receive compensation for orientation and training
Author(s)
