25 Sep Proposed Rule Addressing Independent Contractor Status Under the Fair Labor Standards Act Published in the Federal Register
Today the Federal Register published a U.S. Department of Labor proposed rule offering clarity to the determination whether a worker is an employee under the Fair Labor Standards Act (FLSA) or an independent contractor. In the proposed rule, the Department would: Adopt an “economic reality” test to determine a worker’s status as an FLSA employee or an independent contractor. The test considers whether a worker is in business for himself or herself (independent contractor) or is economically dependent on a putative employer for work (employee);Identify and explain two “core factors,” specifically: the nature and degree of the worker’s control over...