Wage and Hour Division Unveils Plans to Survey Workers' Knowledge of Their Classification as Employees or Independent Contractors; May Signal Plan to Reactivate "Right to Know" Rulemaking

From the advent of the Obama Administration, the U.S. Department of Labor has clearly expressed its intent to adopt an adversarial approach towards employers at the agency and sub-agency levels. As part of that strategy, the Department’s Wage and Hour Division (WHD) hired hundreds more investigators and conducted more worksite investigations; imposed harsher penalties, which it widely publicized using “name-and-shame” tactics; and even sponsored the development of smart phone applications, e.g., to help workers track their hours of work and alert consumers of businesses cited for wage and hour violations, among others.

Perhaps the most ambitious and provocative of WHD’s efforts was its plan to publish a “right to know” rule. Intended as a means to facilitate WHD’s broadside attack on what it claims is wholesale misclassification of employees by employers — both as exempt from overtime pay and as non-employee independent contractors — this rule would require employers to (1) provide each worker classified as either exempt or as an independent contractor with a written justification for that classification, and (2) maintain a written record of the justification for each position, which would be subject to inspection by the WHD.

Please see full alert below for more information.

LOADING PDF: If there are any problems, click here to download the file.

Written by:

Published In:

DOL

DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.

© Schnader Harrison Segal & Lewis LLP | Attorney Advertising

Don't miss a thing! Build a custom news brief:

Read fresh new writing on compliance, cybersecurity, Dodd-Frank, whistleblowers, social media, hiring & firing, patent reform, the NLRB, Obamacare, the SEC…

…or whatever matters the most to you. Follow authors, firms, and topics on JD Supra.

Create your news brief now - it's free and easy »

All the intelligence you need, in one easy email:

Great! Your first step to building an email digest of JD Supra authors and topics. Log in with LinkedIn so we can start sending your digest...

Sign up for your custom alerts now, using LinkedIn ›

* With LinkedIn, you don't need to create a separate login to manage your free JD Supra account, and we can make suggestions based on your needs and interests. We will not post anything on LinkedIn in your name.
×
Loading...
×
×