Global Navigation
Office of The Attorney General
The State of New Jersey Office of The Attorney General (Dept. of Law & Public Safety) The State of New Jersey NJ Home Services A to Z Departments/Agencies OAG Frequently Asked Questions
Services A to Z Departments/Agencies OAG Frequently Asked Questions
OAG Home
OAG Contact
spacer
Back to News Releases
OAG Home Attorney General's Biography
Attorney General's Biography
spacer spacer spacer
   
 
spacer spacer spacer
spacer spacer spacer
For Immediate Release: For Further Information:
April 11, 2018

Office of The Attorney General
- Gurbir S. Grewal, Attorney General
Media Inquiries-
Lee Moore
609-292-4791
spacer
Citizen Inquiries-
609-984-5828
spacer
spacer spacer spacer
spacer
Attorney General Grewal Demands Changes to Federal Proposal That Would Strip Workers of Right to Sue for Certain Labor Violations
spacer
spacer spacer spacer
spacer
View Multistate Letter
spacer
spacer spacer spacer
spacer

TRENTON – Acting to protect New Jersey workers and preserve the State’s ability to seek justice on their behalf, Attorney General Gurbir S. Grewal today joined a multi-state coalition of Attorneys General in objecting to the federal government’s new Payroll Audit Independent Determination (PAID) program. As the states explain in their letter, the PAID program “appears to be an amnesty program allowing employers who violate labor laws to avoid prosecution and penalties in exchange for simply paying the back wages their employees were already owed.”

In a letter to U.S. Labor Secretary R. Alexander Acosta, Attorney General Grewal and letter signatories expressed “serious concern” that the PAID program may provide an out for employers who unlawfully engage in wage and hour violations. Of particular concern, the letter notes, is that PAID may require workers who receive overdue wages to waive their rights to pursue legal remedies available under state and local labor laws. PAID also releases employers from the obligation to pay wronged workers liquidated damages, interest or penalties, which the states assail as “troubling on all counts.”
“It’s pretty simple: when employers owe back pay, they should pay the back pay owed,” said Attorney General Grewal. “And workers shouldn’t be required to waive their rights in order to get something legally due to them. But, unfortunately, that’s exactly what this federal proposal would require. There is a great deal about this proposal that seems to give unscrupulous employers a soft landing by sidestepping monetary penalties, avoiding prosecution, and offering few deterrents to future misconduct. We in New Jersey are going to hold companies accountable when they cheat their workers out of hard-earned wages.”

Labor Commissioner Robert Asaro-Angelo expressed concern for affected workers.

“As commissioner, one of my priorities is to ensure all employees receive a fair day’s wage for a fair day’s work,” said Asaro-Angelo. “My department is committed to holding employers accountable when they fall short of their obligations to their employees.”

Announced by the U.S. Labor Department in March, the pilot PAID program ostensibly creates an opportunity for employers to resolve worker wage violation claims “expeditiously and without litigation.”

Employers are encouraged to conduct audits and, if they discover overtime or minimum wage violations, to self-report those violations. The employer is then supposed to work “in good faith” with the U.S. Labor Department’s Wage and Hour Division to correct the employer’s wage mistakes and provide back wages owed.

However, the coalition Attorneys General cast significant doubt on the fairness of PAID as currently planned.

There appears to be nothing in the rules to block employers currently under investigation by state attorneys general or labor enforcement authorities from participating in PAID, and there is ambiguity as to whether employers can also try to resolve wage complaints brought under state labor laws.

Given the many questions about PAID and an overall lack of clarity about the program, the Attorneys General assert, New Jersey and other states will forge ahead in prosecuting labor violations “to the fullest extent of our authority, both civilly and criminally,“ regardless of whether employers are participating in PAID.

“No worker should be required to waive wage theft protections in order to obtain only the partial relief your program is offering,” the letter to Secretary Acosta states, “and we intend to pursue every available option to ensure that workers’ rights to fair pay and overtime are protected to the fullest possible extent.”

Follow the New Jersey Attorney General’s Office online at Twitter, Facebook, Instagram, Flicker & YouTube. The social media links provided are for reference only. The New Jersey Attorney General’s Office does not endorse any non-governmental websites, companies or applications.

spacer
spacer spacer spacer
spacer
 
News Index Page I top
 
Executive Assistant Attorney General
Attorney General's Message Ask the Attorney General
Contact OAG About OAG
OAG News OAG Frequently Asked Questions
OAG Library Employment
OAG Grants Proposed Rules
OAG History OAG Services A-Z
Statutes
OAG Agencies / Programs / Units
Other News Pages Otras Noticias en Español Division of NJ State Police Division of Law News Governor's Office News Division of Highway Traffic Safety News Office of the Insurance Fraud Prosecutor Juvenile Justice Commission News Division on Civil Rights News Division of Consumer Affairs News Division of Criminal Justice News Election Law Enforcement Commission Division of Gaming Enforcement News
NJ State Police News Governor's Office News Division of Highway Traffic Safety News Office of the Insurance Fraud Prosecutor Juvenile Justice Commission News Division on Civil Rights News Division of Consumer Affairs News Division of Criminal Justice News Election Law Enforcement Commission Division of Elections News Division of Gaming Enforcement News Office of Government Integrity News
   
Contact Us | Privacy Notice | Legal Statement | Accessibility Statement
NJ Home Logo
Departmental: OAG Home | Contact OAG | About OAG | OAG News | OAG FAQs
Statewide: NJ Home | Services A to Z | Departments/Agencies | FAQs
Copyright © State of New Jersey
This page is maintained by OAG Communications. Comments/Questions: email or call 609-292-4925
OAG Home OAG Home NJ State Police News Governor's Office News Division of Highway Traffic Safety News Office of the Insurance Fraud Prosecutor Juvenile Justice Commission News Division on Civil Rights News Division of Consumer Affairs News Division of Criminal Justice News Election Law Enforcement Commission Division of Elections News Division of Gaming Enforcement News Office of Government Integrity News Click to Enlarge Image Click to Enlarge Image Click to Enlarge Graphic Click to enlarge chart Click to enlarge map Click to Enlarge Click to Enlarge Click to Enlarge Click to Enlarge Click to Enlarge Click to Enlarge Click to Enlarge Click to Enlarge Click to Enlarge Click to Enlarge Click to Enlarge Click to Enlarge Click to Enlarge Click to Enlarge Click to Enlarge Click to Enlarge Click to Enlarge Click to Enlarge Click to Enlarge Click to Enlarge Click to Enlarge Click to Enlarge Click on image to enlarge... Click on image to enlarge... Click to enlarge...Click to enlarge...Click to enlarge...Click to enlarge... Click to enlarge... click to enlargeclick to enlargeclick to enlargeclick to enlargeclick to enlargeclick to enlargeclick to enlargeclick to enlargeclick to enlargeclick to enlargeclick to enlargeclick to enlargeclick to enlargeclick to enlargeclick to enlargeclick to enlargeclick to enlargeclick to enlarge click to enlarge