The Burr Broadcast: New Independent Contractor Rule
DE Under 3: US DOL's WHD Published Its “Employee or Independent Contractor” Classification Final Rule
#WorkforceWednesday: Employee Privacy and COVID-19, CMS Vaccine Mandate on Hold, Independent Contractor Classification - Employment Law This Week®
#WorkforceWednesday: New AB5 Exemptions, EEOC COVID-19 Updates, Joint-Employer Rule Partially Struck Down - Employment Law This Week®
Employment Law This Week®: FAA Arguably Preempts California Law, New CA Employment Laws for 2020, CA Consumer Privacy Act Amended
Employment Law This Week®: DOL’s Final Overtime Rule, CA Codifies “ABC Test,” Pay Data Collection Beyond 2018, NLRB’s Busy Summer
Legal Minute: Contractor Misclassification
On April 3, the New Jersey Department of Labor and Workforce Development proposed new rules under the New Jersey Administrative Code (“N.J.A.C.”) Section 12:11, which are designed to clarify the application of the “ABC test.”...more
Last month, the most significant legal development in the area of independent contractor (IC) compliance and misclassification was on Capitol Hill. Bill Cassidy of Louisiana, a Senate Republican who chairs the Senate Health,...more
As independent contractor misclassification enforcement eases up at the federal level, New Jersey is doubling down on the state’s strict test for determining how a worker should be classified under various state laws. The New...more
The New Jersey Department of Labor and Industry (the Department) announced on April 28, 2025, that it was filing a notice of a proposed regulation addressing the test for independent contractor (IC) status under New Jersey...more
The New Jersey Department of Labor and Workforce Development (DOL) announced proposed regulations that purportedly clarify the so-called “ABC test” for determining whether workers should be classified as employees or...more
It was a normal, busy day at Young’s Nail Spa in Temecula, California, when the nail salon was abruptly hit with a $1.2 million fine by the California Labor Commissioner after an investigation found that 36 workers were...more
Private equity firms regularly conduct due diligence of legal risks that could impact potential investments. Yet when considering whether to invest in a target company structured in whole or in part on an independent...more
In this brief update, we detail several changes impacting employers in jurisdictions across the nation. California- •California’s Department of Industrial Relations issued updated FAQs for the State’s Private Attorney...more
New Jersey’s highest court has held that an agreement between a real estate brokerage and a real estate salesperson identifying the salesperson as an independent contractor excludes the salesperson from the New Jersey Wage...more
The most significant legal development in the past month in the area of independent contractor compliance was the enactment of California’s Freelance Worker Protection Act, which goes into effect on January 1, 2025. We have...more
In a refreshing break for business in the Bay State, two recent appellate court decisions have confirmed that legitimate independent contractor relationships are alive and well in Massachusetts. Those decisions are Patel, et...more
One of the most important legal developments last month is a new lawsuit filed by registered nurses against a leading health care system alleging that they have been misclassified as independent contractors instead of...more
The Massachusetts Supreme Judicial Court (SJC) just delivered a win for franchisor-franchisee relationships. Specifically, the court held that 7-Eleven franchisees are not performing a “service” for their franchisor, meaning...more
The Supreme Judicial Court of Massachusetts, answering a certified question, has ruled that five 7-Eleven franchisees were independent contractors, not misclassified “employees,” under the Massachusetts Independent Contractor...more
In the ever-evolving landscape of employment law, a recent Massachusetts Supreme Judicial Court (SJC) opinion, Patel v. 7-Eleven, Inc., has shed light on a critical question: When is a franchisee considered an employee of the...more
The California Supreme Court recently upheld a California law that classifies drivers for app-based transportation companies, such as Uber, Lyft, or DoorDash, as independent contractors and not employees, provided the company...more
In a substantial win for app-based rideshare and delivery companies, the California Supreme Court unanimously upheld California Proposition 22 as constitutional on July 25, 2024. California Ballot Initiative Proposition 22...more
On July 25, 2024, the California Supreme Court upheld the constitutionality of Proposition 22, the law allowing gig economy workers to be classified as independent contractors. The decision ends a nearly four-year legal...more
On July 25, 2024, the California Supreme Court issued an opinion upholding the statewide ballot measure that classifies app-based drivers as independent contractors. Voters passed the law (also known as Proposition 22) in...more
Several States and major U.S. Cities, including California, New York City and Seattle, have passed laws aimed at classifying “gig workers” as employees as opposed to independent contractors in recent years. Challenges to...more
On March 11, 2024, the U.S. Department of Labor’s (“DOL”) revised independent contractor test took effect, under a Final Rule issued by the Wage and House Division of DOL. The rule for Employee or Independent Contractor...more
On May 13, 2024, the New Jersey Supreme Court issued its decision in a class action lawsuit known as James Kennedy, II v. Weichert Co., conclusively finding that for the purpose of determining whether a real estate...more
As March Madness gets underway, a California federal judge has called a flagrant foul and ejected the trucking industry from its ongoing battle to challenge Assembly Bill No. 5 (“AB5”)....more
In recent years, employment status has been an evolving topic globally as various jurisdictions grapple with how to properly categorise increasingly flexible forms of working. A regulatory change in the United States by the...more
Two cases reported below in our review of legal developments in February 2024 address reclassification of independent contractors. The first case is one in which a state and county sought enforcement of California’s strict...more