Proposed DOL Rule Makes it Easier for Employers to Classify Workers as Independent Contractors

For years, the question of whether an individual is an employee or independent contractor under the Fair Labor Standards Act (FLSA) has been a significant source of confusion and oftentimes the subject of litigation. The distinction is particularly important to employers because the minimum wage, overtime pay and family medical leave requirements of the FLSA do not apply to independent contractors, as opposed to employees who are covered by the FLSA and therefore receive a multitude of protections under that statute and others such as Title VII of the Civil Rights Act. Thus, failing to properly classify workers puts employers at risk of costly litigation. Amid the growing “gig” economy, where independent contractors are central to business, this issue is in even greater need of solution. More.

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Associated People:

Jaycee Booth

Practice Area:

Labor & Employment