Did you get a call or unexpected visit from the Department of Labor? We’ll share a few of the reasons they’re getting in touch with you—and what you can do about it.
If the DOL calls your caregiver registry, we understand that it can be frustrating and cause anxiety. There is no need to worry; remain calm and keep reading.
We’ve been there alongside our customers and can share best practices on what you need to do.
Why might the DOL be getting in touch?
The Department of Labor was established in 1913 as a means to:
Their jurisdiction today spans across more than 100 million workers across 10 million workplaces.
The DOL received a budget increase and experts predict an increase in audits in 2024. This isn’t applicable for every business, but more so for industries that are typically low-wage, that are more rife for exploitation and work-related violations including healthcare.
Your caregiver registry might be audited for one of two reasons. Either a worker complained or as part of an industry-specific investigation. Caregiver registries (along with home care agencies) are under strict scrutiny by the DOL because of the low-wage nature of the work.
Home Healthcare News shared, “Specifically, from 2020 to 2022, the DOL’s wage and hour division identified violations in almost 89% of over 1,200 home care and nursing care investigations.”
Caregiver registries are not immune from audits, and depending on the nature of caregiver supervision and control, some violate employment law by misclassifying their workers.
During an audit, it’s your job to defend your business model. Rather than being in the business of care, you’re in the business of matching caregivers with clients. This key distinction is your way to pass an audit.
If a worker complains about your caregiver registry, they will handle these in a confidential manner. You probably won’t know the name of the worker who complained.
When a complaint is made, depending on availability of resources or evidence, an investigation will be launched. This can include contacting the worker, other workers, and your business.
If you are impacted by an investigation, treat it the exact same way you would as an audit.
To learn more about the audit process and what you should prepare ahead of time, read this article: How Long Does a Department of Labor Investigation Take?
You may also be relieved to hear that sometimes the DOL calls businesses to inform them on updates or information that might be new.
With over 10 million businesses under their purview, there’s a lot of information that can slip through the cracks.
Did you know that the DOL is responsible for enforcing over 180 laws? Most business owners aren’t completely familiar with every law they might be subject to, and your team might not have the resources either.
These calls can be a helpful reminder and opportunity for you to ask questions if you have any.
There are a few reasons the DOL might be getting in touch with you—and you might not get notice. In any event, it’s best practice to make sure that your registry is up-to-date on all regulations and standards for your state (and at the federal level).
You don’t have to do this alone. We partnered with Julie Black, the Owner of Nurture Care, and her team found themselves in an unexpected audit. Within 2 weeks, the DOL was done with the investigation after finding that they were up-to-par on regulations, defending their caregivers as independent contractors.
“The partitioned payment systems in place saved us a lot of time. It’s very efficient, and we don’t spend a lot of time in the system because it’s running correctly,” Black shared. Ally’s registry management system increases registries’ odds of passing an audit by 50% and we’ll even provide expert witnesses to testify on your behalf, if needed.
If you’re ready to audit-proof your registry, schedule a demo here.