Federal agencies under the second Trump administration are taking a different tack on inclusion and diversity in employment than in previous years. This has become, according to SHRM, one of the top workplace issues for HR Pros, CHROs, and CEOs to focus on in 2025 and beyond.
Title VII enforcement has received additional attention, and practices that factor in protected characteristics — regardless of intent — can be expected to face much closer scrutiny. Agencies have already elevated protections for religious expression, which can intersect with broader pre-existing I&D initiatives.
HR teams should re-evaluate policies, training programs, and day-to-day protocols to ensure alignment with this environment and avoid Department of Labor investigations. Clear documentation and consistent application matter more than ever: the ability to show what was decided, why it was decided, and how it was enforced across the workforce sets the foundation for defensible compliance. And then, to also navigate any subsequent agency review or DOL investigation.
When the DOL Comes Knocking
A Department of Labor (DOL) investigation can arrive with little warning. The results, though, can have major financial and reputational consequences. You can’t get caught offguard when prompted by overtime complaints, family leave disputes, or whistleblower reports. These investigations demand rapid coordination, meticulous documentation, and full legal compliance.
Case management software can make the difference for HR teams between a smooth, organized response and a chaotic scramble. LaborSoft’s integrated platform helps teams track every request, collect documents, and demonstrate procedural integrity from start to finish.
First, Understand the Investigation Process
A DOL investigation typically unfolds in several stages:
- Notice and document request: Employers receive formal notice and must submit records such as payroll data, time logs, and leave documentation.
- Interviews and onsite inspections: Investigators may question employees, HR staff, and management about policies and practices.
- Review and findings: The DOL analyzes whether wage, leave, or safety laws were violated.
- Remediation or enforcement: If violations are found, employers may face fines, back pay orders, or required policy changes.
Each stage requires timely, verifiable documentation. In the absence of an organized system, HR teams risk an extended DOL investigation. There could be missed deadlines, data gaps, or inconsistent responses that all could amplify penalties.
Centralizing Evidence and Documentation
A key advantage of the LaborSoft system is centralized case documentation. HR teams can store payroll records and FMLA documentation as well as prior HR investigations within one secure environment.
Every file is timestamped and version-controlled so investigators receive the correct versions. Automated alerts notify HR when response deadlines approach, while built-in reporting allows quick generation of audit summaries.
In many organizations, documentation lives in disconnected systems — payroll in one, time tracking in another, grievances in a third. LaborSoft consolidates everything into a single source of truth. As a result, your organization faces reduced risk of oversight.
Enhance Compliance and Transparency
Case management tools support compliance officers with visibility across all active DOL cases. The workflow dashboards in LaborSoft track your open tasks and pending document requests so that no critical action slips through the cracks.
Each case includes an immutable audit trail. Every document upload, edit, and communication is clearly recorded. That level of transparency strengthens the organization’s defense if disputes arise or if investigators request evidence of procedural compliance.
Prevent Future Investigations
Beyond crisis response, the same tools can help organizations identify patterns that may trigger future investigations. For example:
- Labor analytics reports highlight recurring overtime discrepancies or wage errors.
- Case trends reveal departments with higher complaint volumes.
- Automated compliance audits flag missing documentation or inconsistent policy enforcement.
HR can take preventive action with these insights to close compliance gaps before they attract regulatory scrutiny.
The LaborSoft Edge
The LaborSoft platform brings structure and accountability to an otherwise stressful process. Features such as secure document repositories, deadline tracking, and case linking ensure every investigation is managed consistently. Integration with LaborSoft’s HR System also allows cross-referencing related grievances or arbitration cases.
Compliance Made Defensible
It would be easy to panic when facing a DOL investigation. With a well-documented, systemized response, you don’t have to. Organizations can prove compliance and protect their reputation in the moment while also strengthening their processes for future resilience.
Is your organization ready for a DOL audit? Explore how LaborSoft’s Case Management Software can help you centralize records, automate responses, and show investigators that compliance is part of your culture. Schedule your demo today.