Labor Standards

The Department of Labor's Wage and Hour Division issued four opinion letters detailing updated Fair Labor Standards Act interpretations. These clarifications on overtime exemptions and compensable time are crucial for federal contractors to ensure compliance and avoid wage violations.

The New Jersey Department of Labor has expanded its enforcement initiatives, resulting in over $1 million recovered from businesses violating labor laws. Currently, 389 businesses are barred from public contracting, impacting procurement practices across the state and enforcing compliance in labor relations.

The U.S. Department of Labor recovered **$30,442** in back wages due to the University of Tennessee's violation of the Family and Medical Leave Act (FMLA). This case highlights the necessity for contractors to ensure compliance with federal labor laws to avoid costly penalties and protect their reputations in the procurement process.

The U.S. Department of Labor has recovered nearly **$64,000** in unpaid wages for eight employees at **El Beto’s Tacos LLC**. This case highlights the necessity for contractors in the food service sector to maintain compliance with labor laws to avoid penalties and ensure eligibility for government contracts.

The Texas Attorney General's Office has reached a $13 million settlement with Walmart to enhance pay transparency for drivers under the Spark Driver program. This case reflects growing state-level scrutiny on compensation practices in the gig economy, urging vendors to reassess compliance with wage standards.

The U.S. Department of Labor recovered **$1.73 million** in back wages for **1,666** employees of The State Group Industrial due to FLSA violations. This case highlights the necessity for contractors in large-scale projects to ensure compliance with wage regulations to avoid liabilities and ensures a competitive bidding environment.

A federal court mandates three Cowbell-operated sports bars to pay over $51,000 due to wage violations. This action highlights increased scrutiny from the Department of Labor, emphasizing the need for compliance in procurement practices across the hospitality sector in Maine.

The New Jersey Department of Labor issued a stop-work order against Kismet International Inc. for misclassifying drivers as independent contractors. The company faces recovery of over **$207,000** in unpaid unemployment and disability contributions, highlighting increased regulatory scrutiny in the transportation sector.

The U.S. Department of Labor is offering free webinars in May 2026 to help employers understand youth employment regulations. This initiative supports compliance with child labor laws, especially vital for businesses hiring young workers in states such as Georgia, Kentucky, and Tennessee.

The U.S. Department of Labor has successfully recovered over **$200,000** in back wages from Oregon's **Taste of India 1** due to Fair Labor Standards Act noncompliance. This event serves as a critical reminder for procurement professionals in the food service sector to ensure compliance with federal labor regulations to mitigate penalties.