Fringe Benefits News: All News
The US Department of Labor (USDOL) submitted its budget request for FY 2013 on February 13, 2012. The USDOL requested nearly $12 billion in discretionary funding which is nearly $600 million less than the Department’s FY 2012 request. The decline is largely due to a program transfer to another agency so overall the budget is nearly flat to only slightly down.
The budget struggles to balance agency priorities such as job training and workforce protections with the need to become more efficient. Secretary of Labor Hilda L. Solis said, "Our budget request focuses on programs that will help keep America's workforce strong and innovative, while providing needed worker protections. It also makes responsible and reasonable cuts that are rooted in current economic realities and a continued focus on increased efficiency and effectiveness." The bulk of the agency’s budget is comprised of Employment and Training Administration programs which account for nearly $9 billion of the agency’s request and the $600 million decline. Of the $600 million decline about $450 million of it is the transfer of the Older Workers program to Health and Human Services in FY 2013. The balance of the budget request, which funds worker protection programs, agency administration, and the Bureau of Labor Statistics, is fairly flat.
The Wage and Hour Division, the office responsible for Service Contract Act, Davis-Bacon Act and other employment law enforcement, requested $237 million for FY 2013 which is nearly an $11 million increase over FY 2012. More than half of the increase is dedicated to FLSA overtime and FMLA enforcement. The majority of the balance is meant for increased enforcement related to misclassified workers.
While these amounts reflect the Administration’s budget request, actual spending could be significantly less if sequestration occurs under the terms of the Budget Control Act starting in January 2013.