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DOL/WHD | RIN: 1235-AA43 | Publication ID: Spring 2023 |
Title: Employee or Independent Contractor Classification Under the Fair Labor Standards Act | |
Abstract:
On January 7, 2021, the Department of Labor (Department) published a final rule on independent contractor status under the Fair Labor Standards Act (FLSA). See 86 FR 1168 (2021 IC Rule). The Department subsequently published final rules to delay and withdraw the 2021 IC Rule on March 4, 2021, and May 6, 2021, respectively. See 86 FR 12535 (Delay Rule); 86 FR 24303 (Withdrawal Rule). On March 14, 2022, a district court in the Eastern District of Texas vacated the Department’s Delay and Withdrawal Rules, concluding that the 2021 IC Rule became effective as of March 8, 2021. The Department has appealed the district court's decision. The Department continues to believe that the 2021 IC Rule does not fully comport with the FLSA’s text and purpose as interpreted by courts and has proposed to rescind the 2021 IC rule and set forth an analysis for determining employee or independent contractor status under the Act that is more consistent with existing judicial precedent and the Department’s longstanding guidance prior to the 2021 IC rule. The Department published an NPRM on October 13, 2022. |
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Agency: Department of Labor(DOL) | Priority: Economically Significant |
RIN Status: Previously published in the Unified Agenda | Agenda Stage of Rulemaking: Final Rule Stage |
Major: Yes | Unfunded Mandates: Private Sector |
CFR Citation: 29 CFR 795 29 CFR 780 29 CFR 788 | |
Legal Authority: 52 Stat. 1060, as amended 29 U.S.C. 201-219 |
Legal Deadline:
None |
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Timetable:
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Regulatory Flexibility Analysis Required: No | Government Levels Affected: Undetermined |
Federalism: No | |
Included in the Regulatory Plan: No | |
RIN Data Printed in the FR: No | |
Agency Contact: Daniel Navarrete Acting Director of the Division of Regulations, Legislation, and Interpretation Department of Labor Wage and Hour Division 200 Constitution Avenue NW, FP Building, Room S-3502, Washington, DC 20210 Phone:202 693-0406 |