The Labor Department assessed nearly $318 million in back pay and penalties from employers accused of minimum wage, overtime, and child labor violations in fiscal year 2025, a 33% increase from the year before, according to agency data.

The monetary penalties are the highest recorded by the DOL’s Wage and Hour Division in the last decade, and the most back wages since 2019.

The jump comes despite the agency concluding fewer compliance actions than it did in fiscal year 2024, according to WHD data analyzed by Bloomberg Law.

Labor and employment attorneys say the Trump administration’s deregulatory policy agenda and cuts to the federal workforce likely contributed to a dropoff in enforcement action last year, noting many of the highest penalties were levied by the Biden administration.

“The Trump administration told us in January what they were going to do and so in some regard they can pat themselves on the back for slowing down enforcement actions,” said Ogletree Deakins Shareholder Paul Lancaster Adams. He added that he’s seen a reduction in investigative activity by the DOL.

Workers received $259 million in back wage awards in the 2025 fiscal year, up from the $202 million awarded in the prior year. The WHD assessed $58.7 million in penalties during that time, compared to $35.9 million the year before, according to the DOL data.

The boosted figures come alongside efforts by President Donald Trump to ease compliance burdens for companies.

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