US Department of Labor Issues New Guidance on Independent Contractor Misclassification Enforcement

DOL

US Department of Labor Issues New Guidance on Independent Contractor Misclassification Enforcement

The U.S. Department of Labor’s Wage and Hour Division issued a field assistance bulletin providing guidance on how to determine employee or independent contractor status when enforcing the Fair Labor Standards Act. 

While the department reviews the 2024 final rule, Employee or Independent Contractor Classification Under the Fair Labor Standards Act – which is also being challenged in federal court – agency investigators are directed not to apply the 2024 rule’s analysis in current enforcement matters. Instead, the division will rely on longstanding principles outlined in USDOL Fact Sheet #13 and further informed by the reinstated Opinion Letter FLSA2019-6, which addresses classification in the context of virtual marketplace platforms.

This guidance does not change existing regulations but reflects how the department is allocating enforcement resources during the review of the 2024 rule.

The FAB supersedes any prior or conflicting guidance provided to Wage and Hour Division staff on enforcement related to independent contractor misclassification. The department may still exercise enforcement authority in individual cases deemed appropriate by the Wage and Hour Administrator or a designee. For additional guidance beyond the field assistance bulletin, workers and employers can contact the Wage and Hour Division at its toll-free helpline, 866-4US-WAGE (487-9243).



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