The Cost of Breaking Federal Employment Laws Is Going Up About 3%
Author: Michael Cardman, Brightmine Senior Legal Editor
January 9, 2025
The penalties for violating the Fair Labor Standards Act (FLSA), the Family and Medical Leave Act (FMLA), the Occupational Safety and Health Act (OSH Act) and other federal laws enforced by the US Department of Labor (DOL) are going up again.
They will increase by 2.6%, effective January 15.
A 2015 law requires the DOL to adjust its civil monetary penalties for inflation each year to "improve the effectiveness of civil monetary penalties and to maintain their deterrent effect."
The annual inflation adjustments are tied to the Consumer Price Index (CPI), so the change in DOL's civil money penalties parallels the overall rate of inflation as measured by the change in prices of food, housing, transportation and other goods and services.
This year's penalty adjustments include the following:
Law | Type of Violation | Maximum Penalty 2024 | Maximum Penalty 2025 |
---|---|---|---|
Family and Medical Leave Act (FMLA) | FMLA notice-posting requirements under +29 CFR § 825.300(a) | $211 | $216 |
Fair Labor Standards Act (FLSA) | Violation of the prohibition against keeping employee tips under +29 USC 203(m)(2)(B). | $1,373 | $1,409 |
Repeated or willful violations of the minimum wage and overtime provisions under +29 CFR § 579.1(a)(2) | $2,451 | $2,515 | |
Child labor violations under +29 CFR § 570.140(b)(2) and +29 CFR § 579.1(a)(1)(i)(B) | $15,629 | $16,035 | |
Child labor violations that cause serious injury or death under +29 CFR § 570.140(b)(2) and +29 CFR § 579.1(a)(1)(i)(B) | $71,031 | $72,876 | |
Willful or repeated child labor violations that cause serious injury or death under +29 CFR § 570.140(b)(2) and +29 CFR § 579.1(a)(1)(i)(B) | $142,062 | $145,752 | |
Occupational Safety and Health Act (OSH Act) | Serious and other-than-serious violations under +29 CFR § 1903.15(d)(3)-(4) and posting-requirement violations under +29 CFR § 1903.15(d)(6) | $16,131 | $16,550 |
Willful violations under +29 CFR § 1903.15(d)(1) and repeated violations under +29 CFR § 1903.15(d)(2) | $161,323 | $165,514 | |
Failure-to-abate violations under +29 CFR § 1903.15(d)(5) (per day) | $16,131 | $16,550 | |
Immigration & Nationality Act | Violation of the attestation related to utilizing alien crew for longshore activities in US ports under +20 CFR § 655.620(a) | $11,524 | $11,823 |
Various H-1B violations under +20 CFR § 655.810(b)(1), including violations pertaining to strike/lockout or displacement of US workers and substantial violations pertaining to notification, labor condition application specificity, or recruitment of US workers | $2,304 | $2,364 | |
Willful H-1B failures pertaining to wages/working conditions, strike/lockout, notification, labor condition application specificity, displacement or recruitment; willful misrepresentations on the labor condition application; or discrimination against an employee under +20 CFR § 655.801(b) and +20 CFR § 655.810(b)(2) | $9,380 | $9,624 | |
Willful violations resulting in displacement of a US worker employed by the employer in the period beginning 90 days before and ending 90 days after the filing of an H-1B petition in conjunction with other willful violations or misrepresentations under +20 CFR § 655.810(b)(3) | $65,661 | $67,367 |
The DOL also adjusted penalties for violations of certain regulations under the Employee Retirement Income Security Act (ERISA), the Employee Polygraph Protection Act (EPPA) and the Federal Mine Safety and Health Act (MSHA), among others.