The US Department of Labor (DOL) issued a bulletin to employees this week outlining a new policy requiring employers to report workers’ unpaid holiday and sick leave.
The Labor Department is trying to stem the rise of unscrupulous companies using these loopholes to illegally collect millions of dollars from their workers and customers.
The US Labor Department released the guidance in response to an increase in unscrupulous holidaymakers.
The announcement comes just weeks after President Donald Trump signed a bill to tighten up federal laws on workers and businesses, including an extension of mandatory paid sick days and a ban on employers charging workers for the time they take to make a decision.
Employers will now have to report unpaid holiday, sick leave and other unpaid leave taken between January 1, 2020 and June 30, 2021.
The Department of Justice has also issued a warning about the rise in unscamped workers.
“We are urging employers to use all reasonable means to protect their workers’ health and safety, including reporting all reported unpaid holiday time to the Department of Health and Human Services,” said a statement from the department.
The Labor department also warned against employers charging employees for unused sick days or for unpaid holidays.
The department has been cracking down on unscamped holidaymakers since the early 2000s, when it made a concerted effort to track down workers in states like New York and California who were working illegally on the side to earn a living.
But it’s not just the US that is having a problem with unscamped employees.
Last year, a similar bulletin was issued to all employees.
However, the department noted that the new rule is likely to spark some new challenges.
“The proposed rule could create new incentives for unscamped individuals to work illegally in the United States,” the bulletin stated.
Many of the unscamped have come from Latin America and Asia.
In January, a survey of employers in the Asia Pacific region found that just two out of 10 surveyed workers were employed by an unscamped company.
A report published last year by the Economic Policy Institute found that over 40 percent of the US workforce is in a job that requires unpaid overtime.
The EPI also found that nearly half of the workers surveyed by the company said they were paid less than minimum wage.
The US is home to more than 100 million undocumented immigrants, who work illegally for low wages and are forced to work at home, often without health insurance.