WHDFinal Rule
Federal Civil Penalties Inflation Adjustment Act Annual Adjustments for 2025
Labor & Workplace
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Summary
This regulation updates the penalty amounts that the Department of Labor can impose when employers violate workplace laws, adjusting them for inflation so penalties keep pace with rising costs. These higher penalties apply to violations of wage and hour rules, making it more costly for companies that break labor laws.
Key Points
- 1The Department of Labor increases the dollar amounts of fines for labor law violations each year to account for inflation
- 2Penalties for wage and hour violations—such as not paying minimum wage or overtime—will be higher starting in 2025
- 3Employers who break workplace rules will face steeper financial consequences, which may encourage better compliance with labor laws
- 4These adjustments affect all businesses subject to federal wage and hour laws, from small businesses to large corporations
- 5The specific penalty amounts have been recalculated for 2025 to maintain their effectiveness as a deterrent to violations
Key Dates
Published
January 10, 2025
This summary is for informational purposes only. It may not capture all nuances of the regulation. Always refer to the official text for authoritative information.
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