January 2001 Major Managem

Challenges and 

Program Risks

Department of Labor

GAO-01-251

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Letter 

Overview 

Major 

Performance 

and 

Accountability 

Challenges

Related GAO 

Products

Performance 

and 

Accountability 

Series
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of th

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United States General Accounting Office

Washington, D.C. 20548

January 2001

The President of the Senate

The Speaker of the House of Representati

This report addresses the major performa

accountability challenges facing the Depa

Labor as it seeks to promote the welfare a

security of the nation’s workforce and ens

workplaces are safe and healthy. It includ

of actions that Labor has under way to ad

challenges and outlines further actions th

believes are needed. This analysis should 

Congress and administration carry out the

responsibilities and improve government 

of the American people.

This report is part of a special series, first 

January 1999, entitled the Performance an

Accountability Series: Major Management 

and Program Risks. In that series, GAO a

Congress that it planned to reassess the m

and criteria used to determine which fede

government operations and functions sho

highlighted and which should be designat

risk.” GAO completed the assessment, co

comments provided on a publicly availabl

draft, and published its guidance docume

Determining Performance and Accountab

Challenges and High Risks (GAO-01-159SP

November 2000.

This 2001 Performance and Accountabilit

contains separate reports on 21 agencies

each cabinet department, most major inde

agencies, and the U.S. Postal Service. The 

includes a governmentwide perspective on 
Page 4 GAO-01-251 Lab

and management challenges across the fede

government. As a companion volume to this 

GAO is issuing an update on those governme

operations and programs that its work ident

“high risk” because of their greater vulnerab

waste, fraud, abuse, and mismanagement.

David M. Walker

Comptroller General

of the United States
Page 5 GAO-01-251 L
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The Department of Labor is responsible fo

the welfare and economic security of the 

workforce and ensuring that workplaces a

a budget estimated at more than $39 billio

2001, Labor oversees a wide array of activi

more than 100 million workers and more t

employers. These myriad activities are m

through a decentralized agency structure 

22 offices, more than 1,000 field offices, a

program responsibility with numerous sta

organizations and as many as 14 federal e

Labor must carry out its responsibilities in 

changing environment. Significant chang

from increasing workforce diversity and n

developments in technology are rapidly tr

the workplace and the ways in which emp

business. In addition, slow workforce gro

increasing retirements by baby boomers w

result in tight labor markets continuing in 

Employers are responding to these chang

more highly skilled workers and creating 

work arrangements, such as allowing emp

telecommute and hiring contingent worke

past decade, the country has experienced 

growth and low unemployment, and millio

Americans are enjoying economic succes

people have not been able to share in this 

Because employment opportunities increa

those with higher levels of education and 

lacking the skills necessary to meet emplo

may be left behind. Also, if laws and regu

keep up with the changing workplace, wo

have adequate benefits or workplace prot

In this context, our work has shown that L

several key challenges: to improve opport

productive employment, which would inc

workers to better meet rapidly changing w

needs; protect workers’ benefits as they p
Page 7 GAO-01-251 L

wages, unemployment income, and retire

among other things; and ensure safe and h

working conditions. Labor is aware of the

and, in response to GAO recommendation

action to address them. For example, Lab

changed its procedures to verify wage dat

the accuracy and timeliness of prevailing 

Labor has also initiated actions to strengt

management of pension plans.

Many opportunities for improvement rem

Labor can improve its performance measu

strategic planning, and organizational alig

better meet its challenges. For example, L

better data to effectively measure program 

Better strategic planning by Labor would 

program service delivery and ensure that 

and procedures keep up with changes in t

Labor must also improve coordination wi

agencies that have similar responsibilities 

program effectiveness, ensure worker pro

minimize employers’ compliance burdens

takes action to address these issues, it wi

stronger position to increase the employm

earnings of America’s workers, protect th

workers, and ensure safe and healthy wor

conditions. 
Page 8 GAO-01-251 Lab

Employment and 

Earnings

Given the rapid changes in the workplace an

for employees to enhance their skills, one of 

challenges is to increase the employment an

of the workforce. Toward that end, Labor is 

states implement the Workforce Investment 

to integrate employment and training progra

provide access to a broad range of employm

services in a single location. However, we h

identified problems with data collection, per

measurement, and a lack of strategic plannin

hinder efforts to measure performance and i

services, which, if remedied, could help a wid

individuals obtain employment and increase 

earnings. For example, the lack of systemw

performance measures precludes states from 

the effectiveness of its one-stop system unde

addition, the lack of accurate, useful data co

employment and training services for migran

aged 14 to 17 and for veterans prevents Labo

accurately assessing program performance a

improvements over time. We recommended 

develop better performance data on migrant 

• Increasing the employment and earnings of 

America's workforce 

• Protecting the benefits of workers

• Fostering safe and healthy workplaces
Page 9 GAO-01-251 L

pointed out areas in which it could impro

of data on veterans’ services. 

Worker Benefits To protect workers’ benefits and rights, su

pensions and the appropriate wage, Labor 

that its programs keep up with changes in 

workplace, such as the increasingly diver

and the growth of small businesses and vi

workplaces. Based on recommendations 

and others, the agency has made a numbe

improvements to enhance compliance wit

standards and protect worker benefits, su

increasing the accuracy and timeliness of 

determinations, ensuring proper payment

compensate longshore and harbor worker

strengthening internal controls to minimiz

abuse in the federal workers’ compensati

However, our work has shown that Labor

that protect labor standards and worker b

subject to weaknesses in performance me

organizational alignment, strategic planni

financial and contract management. For 

October 2000, we reported that the lack o

timely performance data in the federal wo

compensation program made it difficult to 

progress toward its goals and recommend

agency collect better data and establish p

measures. We also found that inadequate 

alignment and strategic planning in progra

by multiple agencies may result in ineffici

program administration or enforcement th

increase the burden of compliance for em

reduce protections for workers. We recom

eliminating particular agency responsibilit

the process and realigning program author

the effectiveness of enforcement. In Sept

we identified weaknesses in performance 

management that could affect Labor’s abil
Page 10 GAO-01-251 Lab

financial needs of pension plan participants 

and effectively and made several recommen

address these problems.

Safe Workplaces Given the dramatic increase in the number o

needing workplace protection, changing wor

conditions, global competition, and other fac

may affect workplace conditions, Labor mus

that laws protecting the work environment a

so that workplaces are safe and healthy. Wh

agency made progress in improving procedu

detect violations of agricultural child labor a

establishing safety and health programs at re

training centers for disadvantaged youth, Lab

more to improve its data and performance m

and organizational alignment. Our work has 

Labor lacks the data necessary to determine 

of violations regarding children working in a

We recommended that Labor take steps to im

data collection to better identify and track th

violations. Our work has also shown that org

and coordination problems limit the effectiv

Labor’s efforts to protect workers. Labor age

as the Occupational Safety and Health Admi

(OSHA) and the Wage and Hour Division (W

not coordinated effectively with other agenc

enforce laws regulating hazardous materials

endangering employee safety, or to enforce l

protecting children working in agriculture, r

potential to detect child labor violations. We 

recommended various ways that OSHA and 

improve coordination to better enforce these 
Page 11 GAO-01-251 L

y g

With a budget estimated at more than $39 

year 2001, much of which is nondiscretion

charged with preparing the nation’s workf

and better jobs, providing and protecting 

and benefits, and ensuring safety in the na

workplaces. To carry out its mission, the a

oversees a broad array of programs, rangi

that help students’ transition into the work

that ensure the integrity of pension plans 

These activities affect more than 100 milli

and more than 10 million employers. Labo

responsibility for managing these activitie

decentralized across 22 offices and more t

offices. In addition, Labor can share progr

responsibility with as many as 14 entities 

federal agencies and with numerous state 

Although Labor has been making changes 

its responsibilities more effectively, it face

following significant performance and acc

challenges: (1) increasing the employmen

of America’s workforce, (2) protecting wo

benefits, and (3) fostering safe and health

Several weaknesses, however, may preven

meeting these challenges, such as the lack 

accurate data to measure performance, in

planning to ensure more effective service 

adapt regulations to the changing workpla

insufficient organizational alignment and 

to ensure worker protections while minim

employers’ compliance burden.

Increasing the 

Employment and 

Earnings of 

America’s 

Workforce

Given the continuing advances in technol

unemployment, employer demands for hig

workers, and an increasingly diverse work

essential that Labor seek ways to help inc

employment and earnings opportunities o

workforce. The Employment and Training 
Page 12 GAO-01-251 Lab

Administration (ETA), the primary agency at 

responsible for helping people prepare for an

workforce, oversees a variety of employmen

training programs whose clients range from u

youth to dislocated workers to older worker

employment assistance. Labor’s Veterans’ Em

and Training Service (VETS) helps veterans 

employment and training. Labor provides fun

these programs to state and local organizatio

are largely responsible for administering the

these programs are now required to provide 

through a single service delivery system und

Workforce Investment Act (WIA). In its effor

increase the employment and earnings of Am

workforce, Labor has made progress in help

implement WIA. However, performance mea

and strategic planning problems continue to 

success of employment and training program

those programs under WIA. 

In the 1990s, we documented fragmentation 

program overlap among the $20 billion in fed

funded programs and concluded that consol

these programs was needed. In 1998, WIA w

to integrate multiple employment and trainin

in Labor and other federal agencies into a sin

delivery system (known as the one-stop syst

provide services more efficiently. 

Despite WIA’s goal to consolidate programs, 

reported that the existence of a large numbe

programs focused on providing employment 

training opportunities limits the integration a

coordination of program services. In an Octo

report, we identified 40 federally funded emp

and training programs administered by 7 diff

federal agencies whose primary goal is to he

find work or improve their job skills. Many p

served the same target group and provided s

services for groups such as Native American
Page 13 GAO-01-251 L

and veterans, creating the potential for wa

administrative inefficiencies and duplicat

in, services that frustrate customers (see 

Figure 1: Programs Serving Target Groups

To a limited degree, Labor’s 2001 perform

discusses efforts to coordinate with other 

agencies and includes goals that indirectly 

coordination. In addition, Labor is providi

assistance to states to help them make the 

WIA and to facilitate the integration and s

services through the one-stop system. In J

reported that states were developing integ

0

2

4

6

8

10

Unemployed 

Welfare

Recipients

Persons 

With 

Disablities

Veterans, 

Including 

Disabled 

Veterans

Youths

Native 

Americans

Number of Programs

Target group
Page 14 GAO-01-251 Lab

delivery approaches that showed promise. H

too soon to determine how well states and lo

agencies are integrating services through the 

system. 

We found that states’ ability to integrate serv

WIA may also be limited by performance me

and associated data problems. Labor is deve

performance accountability system to imple

requirement to assess the effectiveness of st

local service delivery. Labor developed a com

system called the One-Stop Operating System 

that states could use to support WIA-require

collection, facilitate case management, and s

performance data and client information am

partners. We found, however, that OSOS was 

enough to meet states’ needs. As currently co

will not incorporate non-Labor programs tha

provide services at a one-stop center, such a

Department of Education’s Adult Education 

Literacy programs.1

 As a result, it will be diff

collect performance data and track client pa

for all WIA programs that are required to off

through the one-stop center. In addition, no 

performance measures exist, precluding the 

ability to measure and evaluate one-stop per

Labor’s Office of Inspector General (OIG) co

that, if Labor is to evaluate program effective

essential to use unemployment insurance an

Security Administration wage records that p

on employment outcomes. However, becaus

limited access to these wage records for pro

evaluation purposes, OIG believes it must ha

statutory authority to obtain these records e

1

Of the 17 programs that are required to provide service

one-stop system under WIA, 12 are funded by Labor.
Page 15 GAO-01-251 L

We also found that VETS, a partner in one

cannot accurately assess its performance 

track performance improvements over tim

number of reasons. For example, state-rep

veterans’ services and employment outco

significantly across states, limiting the use

these data for performance measurement

differences in how states count services p

veterans affect national data reported to V

used to measure progress. In September 2

we pointed out that the agency needs to a

inadequacies in its data collection efforts. 

also determined that VETS had problems 

reliability of its data and the quality of its 

measures. VETS is working to develop ad

performance measures and is considering 

primary data system. However, it is uncle

efforts will resolve inconsistencies in mea

among states and yield useful national dat

replacement schedule for the data system 

established. 

We also found problems with the perform

Labor used to measure the effectiveness o

provided to migrant youth under its Migra

Seasonal Farmworker Program. Because 

targets migrant and seasonal agricultural 

the children of such workers, it has traditi

on adult employment needs. As a result, L

aggregates outcome data for 14- to 21-yea

though youth under 18 have different train

educational needs from those over 18. Be

has not established specific outcome mea

youth aged 14 to 17, we do not know if th

these youth are being met. In August 1998

recommended that Labor develop and ana

these services to determine the number of 

olds served, the services provided, and th

experienced by these youth. While Labor 

would be useful to collect these data and 
Page 16 GAO-01-251 Lab

would allow it to implement this recommend

agency works with its partners to develop re

requirements, it is not clear how these data w

collected and reported under WIA’s performa

measurement system. 

Strategic planning weaknesses have also lim

integration of Labor’s employment and train

under WIA. The numerous agencies that pro

employment and training services must deve

partnerships that require agencies to determ

they will offer services in a new, integrated s

has been problematic for some Labor progra

example, in September 2000, we reported th

current strategic plan does not adequately ad

it will incorporate its programs into WIA and 

services at one-stop centers. With the expan

stop centers providing a greater number of s

delivery points and the traditionally high tur

VETS staff, we noted that it is crucial that VE

a strategic plan that lays out how it will integ

services at one-stop centers. In addition, we 

that, until VETS identifies the problems veter

finding jobs, it is unable to determine the typ

assistance it should provide. 

WIA’s one-stop system also faces problems th

from multiple program requirements and ins

guidance. WIA regulations requiring each pro

participating in the one-stop system to contr

share of the operating costs hinder the integ

employment and training services. Because e

program has restrictions on the use of its mo

specific requirements for reporting, states m

and report costs separately for each program

stop systems reported problems determining 

partners would share costs, thus delaying ef

complete Memorandums of Understanding (

required by WIA to include cost allocation pl

ways to coordinate services. Labor’s OIG con
Page 17 GAO-01-251 L

funding limitations across programs and t

guidance from state and federal agencies 

difficult for states and local areas to alloc

and properly. It determined that considera

needs to be done to implement adequate s

allocate costs among the one-stop partner 

agencies. 

Key Contact Sigurd R. Nilsen, Director

Education, Workforce, 

and Income Security Issues

(202) 512-7215

nilsens@gao.gov

Protecting the 

Benefits of 

America’s Workers 

Several agencies are responsible for prote

rights and benefits, including unemploym

prevailing wages, and pension and health 

example, ETA and the states administer th

Unemployment Insurance (UI) program e

pay out about $25 billion in benefits in fis

The Office of Workers’ Compensation Pro

(OWCP) provides workers’ compensation 

benefits under the Federal Employees’ Co

Act (FECA) to injured civilian employees 

workplaces, and the Wage and Hour Divis

responsible for ensuring that workers rec

to which they are entitled under the law, s

prevailing wages. The Pension Benefit Gu

Corporation (PBGC), a self-financed, gove

corporation within Labor, protects the ret

income of 43 million workers in defined b

plans. Labor’s Pension and Welfare Benefi

Administration protects the integrity of pe

plans, and other employee benefits for mo

million people. 
Page 18 GAO-01-251 Lab

Some of these agencies have taken or initiat

improve protections for workers. For examp

response to concerns we raised about the ac

timeliness of its wage rate determination pro

the Davis-Bacon Act, WHD increased the eff

effectiveness of its wage data verification pr

ensure greater accuracy and timeliness in th

used to determine prevailing wages. Labor h

taken action to ensure appropriate workers’ 

compensation payments to longshore and ha

workers and to strengthen internal controls 

mitigate the vulnerability of the federal work

compensation program to fraud and abuse. F

PBGC is taking steps to strengthen its contra

procurement management. Nevertheless, La

challenge in protecting the benefits of worke

continues to be affected by a number of wea

performance measurement, strategic plannin

organizational alignment, and contract and f

management. 

We found that performance data were often 

to help Labor determine the progress made t

goals. Despite OWCP’s efforts to improve its 

communications systems, we found inadequ

customer service in a recent review of OWC

example, in some district offices, more than 

telephone calls made to OWCP failed to reac

telephone system, and the customers’ ability 

an OWCP employee varied significantly acro

We also found that the agency does not have 

adequate system for collecting credible and 

performance data to make informed decision

customer service operations. Because the inf

tracked on telephone and written responses 

customers was not always timely, consistent

comprehensive, OWCP could not determine 

progress it had made toward achieving its cu

service goals. In October 2000, we recomme

OWCP collect better performance data, use t
Page 19 GAO-01-251 L

other data for continuous improvement, a

goals for telephone and written communi

customers. Labor agreed with these recom

and said it would continue to explore way

customer communications.

To adapt programs to the modern workpla

must address weaknesses in strategic plan

problems in organizational alignment that 

number of agencies manage programs tha

growing need for workers in specific indu

providing employers with temporary fore

through, for example, the H-2A program f

workers and the H-1B program for highly 

workers such as information technology w

However, we found that having multiple a

manage the H-2A and H-1B programs resu

program inefficiencies that confuse partic

delay the process. In a December 1997 rep

recommended that the Immigration and N

Service (INS) be eliminated from the H-2A 

process to reduce the cost and burden on 

simplify the application process. Labor an

and issued a final rule in the Federal Regi

2000 to delegate authority to approve H-2A 

from INS to Labor, but this rule has not ye

In a September 2000 report, we noted that 

should consider eliminating Labor’s role i

process because Labor’s review of employ

for H-1B workers is limited by law, and IN

much of Labor’s review. Labor did not agr

Congress should expand its role to be mo

while ensuring the process is timely.

In both cases, we also found that limitatio

enforcement authority left these programs 

abuse and fraud by employers or workers

recommendations to address this limited 

Because two separate Labor agencies are 

for the H-2A program, we recommended t
Page 20 GAO-01-251 Lab

consolidate program authority into one agen

increase the effectiveness of enforcement. L

proposed this consolidation to Congress as p

fiscal year 2000 budget, but it was not appro

1B report noted that limitations on Labor’s H

enforcement authority restrict its ability to a

detect noncompliance or abuse. Labor’s OIG 

cases in which employers and individuals fil

fraudulent H-1B petitions with Labor. Labor 

Congress to expand Labor’s enforcement aut

this program.

In our review of the white-collar exemption 

Fair Labor Standards Act (FLSA), which det

whether an employee is paid by the hour and 

for overtime pay or is a salaried employee an

exempt from overtime pay rules, we found th

implementation of the exemption had not ke

with the changing workforce and changing w

arrangements. Over the past 2 decades, the n

American workers exempt from overtime ru

increased by 9 million mostly due to the rapi

services sector, which has a higher proportio

workers than other sectors, and the influx of 

into full-time white-collar exempt positions. 

these shifts in the American workplace, the r

determining whether workers are exempt fro

have remained largely unchanged since the A

passed in 1938. For employers, the current r

rigid and inflexible, particularly in view of te

advances in the workplace. For employees, in

oversimplification of exemption requiremen

reduced protections formerly provided by th

regulations. In September 1999, we recomme

Labor comprehensively review current regul

restructure exemptions for white-collar wor

accommodate today’s workplace. While Labo

a commitment to open a review of these regu

the purpose of updating them, it has not yet 

effort. 
Page 21 GAO-01-251 L

Fiscal year 1999 marked the third consecu

which Labor achieved an unqualified audit 

consolidated financial statements with no 

internal control weaknesses. We encourag

maintain its high level of financial perform

continue working to ensure that all financ

substantially comply with the Federal Fin

Management Improvement Act, which req

financial management systems to comply 

federal financial and accounting standard

In addition to Labor’s unqualified audit op

has made improvements to the longshore 

workers’ compensation trust fund by, for 

ensuring that payments are no longer mad

individuals and strengthening internal con

federal workers’ compensation program. 

other Labor programs that provide or pro

benefits may still have weak internal cont

subject to financial management weaknes

the Unemployment Insurance program. La

identified a range of schemes by individua

employers to defraud the UI program. For 

electronic filing and mail-in UI claims pro

individuals to create false identities throu

fraudulent or unissued social security num

defraud multiple states from a single loca

in substantial losses to the trust fund. The 

recommended increased training for state 

in fraud detection techniques and improve

internal controls and enforcement. Althou

performance plan contains several goals t

program vulnerability, it does not address 

OIG’s concerns, such as the need for incre

and better enforcement.

Over the years, Labor’s OIG has raised con

the security of pension plan assets. First, 

Employee Retirement Income Security Ac

establishes certain minimum standards fo
Page 22 GAO-01-251 Lab

welfare benefit plans, exempts certain pensi

assets from audit coverage, almost one-half 

plan audits cannot receive an audit opinion o

financial statements. To strengthen oversigh

recommended that this exemption be repeal

serious violations be reported directly to Lab

the OIG noted the vulnerability of pension pl

fraud or organized criminal activity. Its inves

have uncovered abuse by financial investme

and pension plan administrators involved in 

investment activity of pension assets. Abuse

financial investment service providers, who 

control the investment of hundreds of million

of pension funds, can result in huge dollar lo

because they usually provide investment or f

advice to more than one plan. Labor’s continu

for the enforcement efforts of OIG and the P

Welfare Benefits Administration against corr

providers is necessary to provide a credible 

against abuses.

In September 2000, we reported that the Bla

Disability Trust Fund, which provides disabi

and medical services to eligible workers in th

mining industry, continues to go into debt. T

shortfall was $6.3 billion in fiscal year 1999 a

increase to a projected $58 billion by fiscal y

According to Labor’s OIG, which also identif

problem, the debt resulted from advances or

obtained to cover benefit payments that coal 

primary source of fund revenuescould not 

Although the tax now generates sufficient re

cover benefits, the trust fund must continue 

money to pay interest on past advances. Lab

conjunction with the Treasury Department, d

legislative proposal to authorize a refinancin

outstanding debt, extend excise tax levels, a

for a payment to compensate Treasury for th

prepayment premium that was sent to Congr
Page 23 GAO-01-251 L

October 2000. Labor will continue to purs

legislation in the next congressional sessi

Finally, we found weaknesses in the Pens

Guaranty Corporation’s contract managem

procurement planning that could affect its 

serve the financial needs of millions of pe

participants efficiently and effectively. Fa

significant number of large pension plan f

beginning in the mid-1980s, PBGC contrac

services rather than seeking more federal 

address the large backlog of benefit deter

Because the agency’s goal was to obtain n

quickly, it did not adequately link its contr

decisions to long-term strategic planning. 

agency cannot determine if it has a cost-e

contractor and federal employees or if it w

prepared for future workload changes. We 

that PBGC did not have a sound business 

its decision to consolidate the competitio

at three separate field offices into one 

procurementand may have limited com

did not do enough to stimulate competitio

field office procurements.

We made several recommendations to add

need to manage its longer-term contractin

strategically and take action to address op

procedural weaknesses. For example, we 

that PBGC undertake a comprehensive re

link staffing and contracting decisions to 

strategic planning process, establish a com

set of procedural guidance for staff who m

contracts, and compile essential performa

central location to monitor contractor per

achieve more effective procurement plann

practices so that the agency does not risk 

much for contracted services and receivin

performance, we recommended that the a

consider using fixed-price rather than lab
Page 24 GAO-01-251 Lab

contractswhich entail more oversight and 

foster more competition by conducting mark

to identify additional potential offerors and b

more opportunities to increase competition 

contracts. In response, PBGC plans to take a

several areas. For example, PBGC plans to d

additional centralized performance data to m

contractors; use more fixed-price contracts, 

appropriate; and open additional contracts t

competition and expand its market research 

identify additional potential offerors. It is imp

PBGC sustain these efforts and fully implem

actions.

Key Contact Sigurd R. Nilsen, Director

Education, Workforce, 

and Income Security Issues

(202) 512-7215

nilsens@gao.gov

Fostering Safe and 

Healthy Workplaces

At least three Labor agencies are responsible 

enforcing laws to protect the working condit

employees: the Occupational Safety and Hea

Administration (OSHA), the Mine Safety and 

Administration (MSHA), and WHD. These ag

oversee worker health and safety in most wo

often sharing enforcement with state and fed

agencies. Although Job Corps has begun to e

safety and health programs at Job Corps cen

OSHA and WHD are making efforts to obtain 

and coordinate enforcement, these agencies 

number of performance measurement and 

organizational weaknesses that affect their a

foster safe and healthy workplaces. 

We found performance measurement proble

WHD’s enforcement of child labor laws. WH

know the true extent of violations involving 
Page 25 GAO-01-251 L

working in agriculture because of the way 

labor violations. Currently, these violation

tracked as child labor violations, but as re

violations, in which employers are cited fo

valid proof of a child’s age on file as FLSA 

addition, although it is well known that m

work in agriculture and that workplace vio

WHD does not know the number of childr

other types of labor law violations, such a

minimum wage laws. In August 1998, we r

that Labor improve its data collection reg

number of recordkeeping violations from 

working in agriculture without employers 

of age and the number of minimum wage a

law violations involving individuals under 

WHD is developing a case management an

system for wage and hour investigations, 

schedule due to implementation problems

OSHA and WHD’s efforts to protect worke

from organizational and coordination pro

resulting from the numerous federal and s

sharing responsibility for these missions. 

2000, we reported that 6 executive agenci

component agencies are responsible for e

least 37 different federal laws governing w

safety and health for private sector worke

According to OSHA, it has 53 MOUs with 

agencies regarding workplace safety and 
Page 26 GAO-01-251 Lab

Figure 2: Workplace Safety and Health Laws Enfor

Responsible Agencies

Note: The number of laws each agency is responsible 

adds up to more than 37 because a law may be enforc

than one agency. 

However, in October 2000, we reported that 

not following the MOUs it had signed with at 

other federal agencies, resulting in greater e

compliance burden and potentially endanger

safety. We also found that OSHA and the oth

were not coordinating requirements, such as 

hazardous material workers. We recommend

ways that OSHA could improve coordination

0

6

12

18

24

30

Labor DOT EPA NRC DOE 

Responsible agency

Number of laws
Page 27 GAO-01-251 L

determining whether the MOUs were effe

consolidating training requirements. Labo

acknowledged points of overlap regarding 

training and did not object to the recomm

In August 1998, we found that WHD was n

requirements in established agreements w

federal agencies, allowing potential agricu

labor violations to go undetected. We reco

Labor issue national enforcement procedu

inspectors should follow when verifying a 

and take steps to ensure that procedures 

agreements with other agencies to coordi

enforcement are being followed and docu

revised its inspection procedures to requi

coordination but continues to lack a quali

system to ensure that field investigators a

procedures.

Similarly, in September 2000, Labor’s OIG 

problems with Job Corps’ implementation 

establishing safety and health programs fo

The OIG concluded that, although the Job 

established performance standards to red

and illnesses in compliance with the MOU

responsibilities were largely unmet and th

injuries and illnesses had not declined. Fo

safety officers did not have the training ne

administer the program, and inspections w

always documented. Neither were there a

systems to ensure that violations were ab

and in a timely manner and that the data u

measure progress were based on incompl

inconsistent practices. The OIG made reco

to address these problems, such as ensurin

take all required training courses, inspect

requirements and are supplemented by gr

supervision of student activities, and abat

more timely. Labor is taking steps to addr

these recommendations. 
Page 28 GAO-01-251 Lab

Our review of child labor law enforcement in 

1998 indicated a lack of strategic planning, m

difficult to ensure that laws and regulations 

with the changing workplace. The report con

FLSA may not be up to date, given changes i

agricultural sector, such as the increased dom

large agricultural producers and growing rel

mechanization and pesticides. Because of th

inadequate protections for children working 

migrant and seasonal agricultural workers, w

recommended that Congress reevaluate whe

adequately protects these children. Although 

members of Congress have expressed intere

issue, no action has been taken. 

Key Contact Robert E. Robertson, Director

Education, Workforce, 

and Income Security Issues

(202) 512-7215 

robertsonr@gao.gov
Page 29 GAO-01-251 L

Increasing the 

Employment and 

Earnings of 

America’s 

Workforce

Multiple Employment and Training Progra

Overlapping Programs Indicate Need for C

Examination of Structure (GAO-01-71, Oc

Veterans’ Employment and Training Servi

Planning Needed to Address Future Need

(GAO/T-HEHS-00-206, Sept. 27, 2000).

Observations on the Department of Labor

1999 Performance Report and Fiscal Year 

Performance Plan (GAO/HEHS-00-125R, J

Workforce Investment Act: Implementatio

the Integration of TANF Services (GAO/T-

June 29, 2000).

Veterans’ Employment and Training Servi

and Performance Plans Lack Vision and C

(GAO/T-HEHS-99-177, July 29, 1999).

Multiple Employment Training Programs: 

Overhaul Needed to Reduce Costs, Stream

Bureaucracy, and Improve Results (GAO/

Jan. 10, 1995).

Protecting the 

Benefits of 

Workers 

Office of Workers’ Compensation Program

Monitoring Are Needed to Further Improv

Communications (GAO-01-72T, Oct. 3, 200

The Black Lung Disability Trust Fund: Bri

Staff of the House Subcommittee on Work

Protections (Sept. 28, 2000).

Pension Benefit Guaranty Corporation: Co

Management Needs Improvement (GAO/T

Sept. 21, 2000).
Page 30 GAO-01-251 Lab

Pension Benefit Guaranty Corporation: Cont

Management Needs Improvement (GAO/HEH

Sept. 18, 2000).

H-1B Foreign Workers: Better Controls Need

Employers and Protect Workers (GAO/HEHS

Sept. 7, 2000).

H-2A Agricultural Guestworkers: Status of C

Improve Program Services (GAO/T-HEHS-00

June 15, 2000).

Fair Labor Standards Act: White-Collar Exem

Need Adjustments for Today’s Work Place

(GAO/T-HEHS-00-105, May 3, 2000).

Internal Controls: Oversight of Longshore Sp

Needs Improvement (GAO/AIMD-00-15, Oct. 

Fair Labor Standards Act: White-Collar Exem

the Modern Workplace (GAO/HEHS-99-164, 

1999).

Davis-Bacon Act: Labor Now Verifies Wage D

Verification Process Needs Improvement

(GAO/HEHS-99-21, Jan. 11, 1999).

H-2A Agricultural Guestworker Program: Cha

Improve Services to Employers and Better P

Workers (GAO/HEHS-98-20, Dec. 31, 1997).

Fostering Safe and 

Healthy Workplaces

Worker Protection: Better Coordination Can 

Safety at Hazardous Material Facilities

(GAO-01-62, Oct. 26, 2000).

Occupational Safety and Health: Federal Age

Identified as Promoting Workplace Safety an

(GAO/HEHS-00-45R, Jan. 31, 2000).
Page 31 GAO-01-251 L

Child Labor in Agriculture: Changes Need

Protect Health and Educational Opportun

(GAO/HEHS-98-193, Aug. 21, 1998).
Page 32 GAO-01-251 L

Major Management Challenges and Progr

Governmentwide Perspective (GAO-01-24

Major Management Challenges and Progr

Department of Agriculture (GAO-01-242)

Major Management Challenges and Progr

Department of Commerce (GAO-01-243)

Major Management Challenges and Progr

Department of Defense (GAO-01-244)

Major Management Challenges and Progr

Department of Education (GAO-01-245)

Major Management Challenges and Progr

Department of Energy (GAO-01-246)

Major Management Challenges and Progr

Department of Health and Human Service

(GAO-01-247)

Major Management Challenges and Progr

Department of Housing and Urban Develo

(GAO-01-248)

Major Management Challenges and Progr

Department of the Interior (GAO-01-249)

Major Management Challenges and Progr

Department of Justice (GAO-01-250)

Major Management Challenges and Progr

Department of Labor (GAO-01-251)

Major Management Challenges and Progr

Department of State (GAO-01-252)
Page 33 GAO-01-251 L

Major Management Challenges and Progr

Department of Transportation (GAO-01-25

Major Management Challenges and Progr

Department of the Treasury (GAO-01-254)

Major Management Challenges and Progr

Department of Veterans Affairs (GAO-01-2

Major Management Challenges and Progr

Agency for International Development (G

Major Management Challenges and Progr

Environmental Protection Agency (GAO-0

Major Management Challenges and Progr

National Aeronautics and Space Administ

(GAO-01-258)

Major Management Challenges and Progr

Nuclear Regulatory Commission (GAO-01

Major Management Challenges and Progr

Small Business Administration (GAO-01-2

Major Management Challenges and Progr

Social Security Administration (GAO-01-2

Major Management Challenges and Progr

U.S. Postal Service (GAO-01-262)

High-Risk Series: An Update (GAO-01-263
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