The Department of Labor (DOL) has changed its enforcement position on independent contractor classification under the Fair Labor Standards Act (FLSA). Its Wage and Hour Division (WHD) is no longer enforcing the most recent independent contractor rule, even though that rule technically remains in place.
Instead, investigators are applying the earlier economic reality test described in Fact Sheet #13 (2008) and Opinion Letter FLSA2019-6. That test asks whether a worker is economically dependent on the employer or in business for themselves, looking at factors such as the employer's control, how permanent the relationship is and the worker's chance of profit or loss.
This 60-minute webinar explains what the shift means for employers, the tools to use when classifying workers, how freelancers may respond and what legal developments to watch.
The return to the broad economic reality test is widely seen as more employer friendly and may lead more businesses to classify workers as contractors. No new legal duties have been imposed, but the DOL is awaiting ongoing litigation and considering rule changes.
Employers still need to judge how workers actually function in the job, not just what contracts, job descriptions or titles say. This session suits employers, business owners, leadership, compliance and HR professionals, and managers.
The return to the broad economic reality test is widely seen as more employer friendly and may lead more businesses to classify workers as contractors. No new legal duties have been imposed, but the DOL is awaiting ongoing litigation and considering rule changes.
Employers still need to judge how workers actually function in the job, not just what contracts, job descriptions or titles say. This session suits employers, business owners, leadership, compliance and HR professionals, and managers.
Margie Faulk
Margie Faulk is a senior level human resources professional with over 15 years of HR management and compliance experience. A current Compliance Advisor for HR Compliance Solutions, LLC, Margie, has worked as an HR Compliance advisor for major corporations and small businesses in the small, large, private, public and Non-profit sectors. Margie has provided small to large businesses with risk management strategies that protect companies and reduces potential workplace fines and penalties from violation of employment regulations. Margie is bilingual (Spanish) fluent and Bi-cultural.Margie’s area of expertise includes Criminal Background Screening Policies and auditing, I-9 document correction and storage compliance, …
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