On July 9, 2012, the DOL issued a press release announcing that it will begin an initiative aimed at improving wage and hour law compliance in the Virginia construction industry. According to the DOL, the economics of the construction industry encourage employers, especially subcontractors, to seek cost savings by evading wage and hour laws. For example, the DOL states that its investigations of the Virginia construction industry have revealed many instances where employers unlawfully classified their workers as independent contractors to evade wage and hour laws, including minimum wage and overtime pay requirements. The DOL intends to combat these abuses by:

Furthermore, the DOL will collaborate with general contractors, industry associations, unions and other groups in Virginia to improve compliance with wage and hour laws. Employers in the construction industry with locations in Virginia should consider reviewing their internal pay policies, practices and procedures to ensure compliance before any DOL audit. For information about conducting an internal wage and hour audit, see Practice Note, Conducting an Internal Wage and Hour Audit.