Understanding the U.S. Department of Labor
The U.S. Department of Labor (DOL) is the federal agency responsible for enforcing workplace laws that protect employees and promote fair labor practices. It oversees key areas, including wages, overtime, benefits, and worker classification. These regulations directly impact how employers manage payroll and ensure daily HR compliance.
Recently, the Department introduced updates to streamline the regulatory process and make it more efficient and less time-consuming for businesses. These efforts reduce administrative work while maintaining fair and transparent labor practices. Still, HR and payroll teams must remain vigilant and adapt quickly as labor standards evolve.
What’s Changing in DOL Regulations
The Office of Information and Regulatory Affairs (OIRA) has encouraged federal agencies, including the DOL, to review and update existing rules more efficiently. This means agencies can evaluate and, when needed, repeal older regulations more quickly. This faster approach affects several key areas that employers depend on, including:
- Faster Deregulation Timeline: Agencies now have 28 days (or 14 days for rules deemed unlawful) to review and remove existing regulations, down from the typical 90-day review period.
- Streamlined Process: When rolling back regulations, agencies can skip specific review steps, such as consulting with state and local governments or analyzing the impacts on small businesses and energy, rather than creating them.
- The Undo First, Review Later Approach: Agencies can repeal a rule immediately using an interim final rule and then collect public comments.
- Deregulation as a Policy Goal: The new framework tells agencies to consider the “benefits” of deregulation—such as increasing private freedom and reducing compliance costs—as part of their decision-making.
By simplifying these processes, the DOL hopes to facilitate compliance for employers while protecting workers and maintaining clear standards across industries.
What This Means for Employers
For many employers, fewer complex regulations can mean more time and resources to focus on their teams and operations. However, this also means staying proactive as standards change more often and vary between states.
Here’s what to consider:
- Faster changes need faster responses. Payroll and HR systems must be able to adjust quickly when new guidance is issued.
- State laws may take precedence. As federal oversight decreases, states may create or modify their labor laws and regulations.
Compliance remains essential. Even with fewer federal rules, accurate pay, reporting, and recordkeeping are still required.
How Employers Can Stay Prepared
Businesses can stay compliant and avoid disruption by taking a few key steps:
- Audit payroll and HR systems regularly to confirm accuracy.
- Track compliance in one place to monitor changes at both federal and state levels.
- Use automation tools that update quickly when labor laws shift.
This proactive approach enables organizations to stay prepared as the U.S. Department of Labor continues to refine its rulemaking process.
How APS Can Help
Keeping up with compliance changes doesn’t have to be difficult. APS provides a reliable solution for employers to manage evolving labor standards. By utilizing technology that adapts to changing regulations, you can gain confidence and security in your compliance management.
- Automated updates: APS automatically incorporates new federal and state rules into payroll and HR workflows.
- Centralized reporting: Employers can view wage, tax, and employee data across every location in one platform.
- Simplified management: The APS system reduces manual work, improves accuracy, and gives HR teams more time to focus on people—not paperwork.
Whether adjusting to new overtime rules or managing employee classifications, APS provides the tools and support needed to stay compliant and efficient.
Staying Compliant with the U.S. Department of Labor
As the U.S. Department of Labor modernizes its approach to workplace regulation, employers can use this moment to improve their compliance management. With intelligent automation and transparent reporting, APS helps businesses operate smoothly and stay confident in their compliance—no matter how the rules change.
See How APS Simplifies Payroll Compliance
Explore how our Payroll Solution helps you stay aligned with U.S. Department of Labor standards while streamlining payroll management.
