It is an honor to transmit to the Secretary and the Congress the 45th Semiannual Report of the U.S. Department of Labor (DOL) Office of Inspector General (OIG). This report, which covers the period from October 1, 2000, through March 31, 2001, details some of the OIG’s most significant accomplishments. During this period, the OIG continued to direct its audit, evaluation, and investigation resources to activities that support its goals of effecting positive change and reducing vulnerabilities in departmental programs and operations, producing a positive return on invested resources, and providing quality services to stakeholders. In my brief tenure at DOL, I have been impressed with the breadth of responsibility and the myriad issues of the Department. I have been equally impressed with the level of commitment of the OIG staff in providing constructive assistance to the Department. Their diligent work and dedication to serving the Department is commendable. Indeed, the work completed during this period demonstrates the OIG’s resolve in identifying weaknesses, recommending policies, and promoting integrity to assist the Department in its efforts to: • improve the economic prospects of the unemployed and underemployed; • turn around the lives of disadvantaged youth; • protect the lives, health, and rights of workers; • provide appropriate benefits to injured or unemployed workers; and • ensure accountability over taxpayer dollars invested in departmental programs. Moreover, the work of the OIG during this period resulted in nearly $63 million in investigative recoveries, restitutions, fines, and penalties; 184 indictments; 116 convictions; $2.1 million in questioned costs; and $1.8 million in funds that were put to better use. As the sixth Inspector General of the U.S. Department of Labor, my priorities will be to provide the Department and the Congress with sound and feasible recommendations to optimize the effectiveness of programs and operations; to vigorously investigate fraud by those who benefit from, service, or administer departmental programs; and to proactively support the Government’s efforts to combat labor racketeering, union corruption, and organized crime activity. Moreover, we will continue to work with the Department to resolve any previously identified management issues or areas of concern. My staff and I look forward to continuing to work constructively with the Secretary and the DOL team to further our common goal of ensuring the effectiveness, efficiency, and integrity of the programs that serve and protect the American workforce.