U.S. Labor Department Seeks Public Opinion

DOL is planning to change rules around statuses of work
by Staff

This rulemaking will change how workers are classified either as independent contractors or employees.

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This rulemaking will change how workers are classified either as independent contractors or employees.

The United States Department of Labor has revealed plans to adjust the rules surrounding how workers are classified. Under the Fair Labor Standards Act, workers may be classified as employees or independent contractors based on a number of different tests. Things like permanence of relationship and the independence of the organization are considered when determining this status. The DOL is hosting public forums to hear from workers and employers regarding any problems they may have with the independent contactor classification system. The rule in question provides an "economic reality" test to the list of tests included in the FLSA but was withdrawn after the newest presidential administration took office. After a District Court blocked the withdrawal of the FLSA rule, the DOL will continue the rulemaking process until it comes to a decision. After the forums, which are on June 24th and 19th, DOL will have a notice and comment period for feedback.