On December 14, 2022, the U.S. Department of Labor (DOL) and the Internal Revenue Service (IRS) signed and published a Memorandum of Understanding for Employment Tax Referrals (the “MOU”). The MOU establishes a system for referrals from the DOL’s Wage & Hour Division (WHD) to the Small Business/Self Employed
Articles Discussing Independent Contractors.
Federal Court Finds In-Home Caregivers Were Employees, Not Independent Contractors, Under ‘Economic Realities/Control’ Test
Issues related to whether individuals are independent contractors or employees receive significant attention by employers and governmental entities because of the critical impact of misclassification. The U.S. Department of Labor’s (DOL) recently published proposed rule restricting when individuals can be considered independent contractors is an example of this scrutiny.
DOL Issues 15-Day Extension of Comment Deadline for Proposed Independent Contractor Rule
On October 13, 2022, the U.S. Department of Labor (DOL) published a Notice of Proposed Rulemaking (NPRM), seeking to revise the standard for determining whether a worker is an employee or “independent contractor” under the Fair Labor Standards Act (FLSA). The NPRM proposes to withdraw the current regulations, issued during
What’s Old is New Again: Labor Department Flip-Flops on Independent Contractor Analysis
The U.S. Department of Labor (DOL) has issued a Notice of Proposed Rulemaking (NPRM), seeking to revise the standard for determining whether a worker is an employee or “independent contractor” under the Fair Labor Standards Act (FLSA).
U.S. Department of Labor Announces New Independent Contractor Rule
Executive Summary: On October 11, 2022, the United States Department of Labor (DOL) announced that it will publish a notice of proposed rulemaking that would assist employers in classifying workers as employees or independent contractors under the Fair Labor Standards Act (FLSA). The DOL believes that the new rule will be more consistent with longstanding judicial precedent on which employers have relied.
DOL Proposes New Multifactor Rule for Determining Independent Contractor Status
On October 11, 2022, the U.S. Department of Labor (DOL) unveiled a new proposed rule that could make it more difficult for workers to be classified as independent contractors under the Fair Labor Standards Act (FLSA). The proposed rule, which would rescind and replace a prior rule published in January
Department of Labor Proposes New Rule for Independent Contractor Status
On October 11, 2022, the U.S. Department of Labor released a proposed rule to update the test for determining whether a worker is an employee under the Fair Labor Standards Act (FLSA) or an independent contractor. FLSA requirements relating to minimum wage, overtime, and recordkeeping apply to employees, but
Chicken Farmers Accuse Perdue Farms Inc. of Misclassifying Employees as Contract Workers
There is no standard test to differentiate independent contractors from traditional employees. However, a number of common laws attempt to draw a line between the two employment classes. A Georgia federal court plans to consider the distinctions that define a self-employed worker in a case against Perdue Farms Inc.
Are Non-Emergency Transport Providers Employees or Independent Contractors? Jury Questions Exist, Eighth Circuit Holds
Reversing summary judgment in favor of the U.S. Department of Labor (DOL), the Eighth Circuit has held that jury questions exist as to whether the defendant employed drivers who provide non-emergency medical transport services or whether it properly classified those drivers as independent contractors. Walsh v. Alpha & Omega USA,
DOL Announces Plan to Issue New Independent Contractor Final Rule
The U.S. Department of Labor (DOL) has announced its intention to issue a new final rule regarding the employee-vs.-independent contractor analysis under the Fair Labor Standards Act (FLSA). That announcement came by way of a June 3, 2022, blog post from Jessica Looman, Acting Director of the DOL’s Wage and
DOL Withdrawal of Trump-Era Independent Contractor Rule Held Unlawful
The U.S. Department of Labor (DOL) violated the Administrative Procedure Act (APA) when it withdrew a Trump-era Independent Contractor Final Rule (ICFR), a Texas federal court has held. Coalition for Workforce Innovation et al. v. Walsh, No. 1:21-cv-00130-MAC (E.D. Tex. Mar. 14, 2022).
Federal Court Reinstates Independent Contractor Rule
On March 14, 2022, the United States District Court for the Eastern District of Texas ruled that the Biden Administration’s attempt to rescind the Trump Administration’s rule “Independent Contractor Status under the Fair Labor Standards Act” (the “Independent Contractor Rule”) violated the Administrative Procedure Act (“APA”).
What issues should be considered when determining whether the “right to control” factor will weigh in favor of an independent contractor determination?
At its current growth rate, the majority of the U.S. workforce will be freelancers by 2027.1 Between federal and state case, statutory, and administrative law, there are too many tests to count for determining whether a worker is an employee or independent contractor. Even within the same jurisdiction, an organization may face different tests depending on the court or administrative agency making the assessment.
DOL Withdrawal of Trump-Era Independent Contractor Final Rule Unlawful, Court Rules
The U.S. Department of Labor (DOL) unlawfully delayed and then withdrew the Independent Contractor (IC) Final Rule, published in the waning days of the Trump Administration, a federal court in Texas has held.
Federal Court Decision Protects Independent Contractor Status
On March 14, 2022, the U.S. District Court for the Eastern District of Texas delivered a victory for businesses that utilize independent contractors, and for independent contractors themselves, when it held that the Department of Labor’s 2021 delay and ultimate withdrawal of regulations governing independent contractor status under the