News & Analysis as of

Misclassification Independent Contractors

Seyfarth Shaw LLP

New Jersey Eyes Regulatory Changes to Strengthen its Statutory ABC Test and Prevent Employee Misclassification

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On April 3, 2025, the New Jersey Department of Labor and Workforce Development (“DOL”) filed proposed new rules codifying its interpretation of the statutory ABC test to determine whether an individual is considered an...more

Harris Beach Murtha PLLC

DOL Pauses Enforcement of 2024 Rule on Independent Contractor Classifications

In February 2024, we reported the U.S. Department of Labor (DOL) issued a Final Rule revising the DOL’s guidance on how to analyze who is an employee or independent contractor for purposes of minimum wage and overtime pay...more

McAfee & Taft

Gavel to Gavel: It just got easier to classify workers as independent contractors

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Surging changes to workplace laws understandably have employers suffering from whiplash. Historically, employment laws have shifted when presidential administrations have changed. A May 1 announcement by the U.S. Department...more

Littler

New Jersey’s Declaration of No Independence? Agency Issues Proposed Regulations on the ABC Test

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On April 28, 2025, the New Jersey Department of Labor and Workforce Development (NJDOL) issued a press release announcing the publication of proposed regulations interpreting the “ABC test” used to determine whether workers...more

Saiber LLC

NJ DOL Proposes New Rules Clarifying the ABC Test for Independent Contractors

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The New Jersey Department of Labor and Workforce Development (NJDOL) recently issued proposed regulations aimed at clarifying how employers should apply the “ABC test” to determine whether a worker is properly classified as...more

Whiteford

Employment Law Update: U.S. Department of Labor Resurrects Guidance Classifying Workers as Independent Contractors

Whiteford on

The U.S. Department of Labor’s Wage and Hour Division (“DOL”) under the Trump administration has doubled down on its commitment to the traditional economic-realities analysis for determining whether workers are employees or...more

Poyner Spruill LLP

DOL Enforcement Guidance Underscores Favorable Shift for Contractor Classifications

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On May 1, 2025, the United States Department of Labor (“DOL”) published the first Field Assistance Bulletin of the year providing guidance to Wage and Hour Division (“WHD”) field staff regarding the proper analysis to apply...more

McAfee & Taft

DOL signals return to employer-friendly worker classification standards

McAfee & Taft on

Surging changes to workplace laws understandably have employers suffering from whiplash. Historically, employment laws have shifted when presidential administrations have changed. A May 1, 2025, announcement by the U.S....more

Sheppard Mullin Richter & Hampton LLP

DOJ Retracts Biden-Era Independent Contractor Classification Rule

On May 1, 2025, the United States Department of Labor’s (“DOL”) Wage and Hour Division announced it would not enforce or apply the Biden-era 2024 Final Rule regarding independent contractor classification (“2024 Rule”)....more

Polsinelli

DOL Abandons 2024 Independent Contractor Test

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What You Need to Know - The U.S. Department of Labor has announced it will no longer enforce the 2024 independent contractor rule under the Fair Labor Standards Act (FLSA), reverting to the more employer-friendly 2008...more

Clark Hill PLC

New Jersey’s proposed Independent Contractor "ABC" Test – easy as 1, 2, 3?

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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

Offit Kurman

Navigating Contractor vs. Employee Classification

Offit Kurman on

In this episode of OK at Work, Sarah Sawyer and Russell Berger from Offit Kurman delve into the intricate and often confusing topic of independent contractor classification. They discuss the various tests and criteria used at...more

Foley & Lardner LLP

DOL Alters Enforcement Position on Independent Contractors

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On May 1, 2025, the Wage and Hour Division (WHD) of the U.S. Department of Labor (DOL) issued a Field Assistance Bulletin stepping back from a restrictive independent contractor rule issued under the Biden administration — a...more

Akerman LLP - HR Defense

DOL Signals Changes to Independent Contractor Rule

On May 1, 2025, the United States Department of Labor (DOL) Wage and Hour Division (WHD) issued a Field Assistance Bulletin, announcing that it will no longer enforce a 2024 Biden-era independent contractor rule under the...more

Troutman Pepper Locke

Republican-Backed Congressional Proposal in Congress Seeks to Allow Companies to Offer Benefits to Independent Contractors: April...

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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

Fisher Phillips

New Jersey Sharpens Focus on Misclassification Issues, Inches Closer to Adopting “ABC Test” Regulations: What Businesses Need to...

Fisher Phillips on

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

Keating Muething & Klekamp PLL

The Independent Contractor Tug-of-War: Navigating the Latest DOL Shifts

Classifying a worker as an independent contractor rather than an employee can be one of the more complicated—and risky—decisions an employer can make, as misclassification can lead to serious legal and financial consequences....more

Vedder Price

U.S. Department of Labor Issues New FLSA Independent Contractor Guidance

Vedder Price on

On May 1, 2025, the U.S. Department of Labor (DOL) published FAB No. 2025-1, providing guidance to its field staff on the analysis to apply when determining whether a worker is an independent contractor or employee for...more

Troutman Pepper Locke

Trump Administration Reissues 2019 Opinion Letter on Independent Contractors and Virtual Marketplace Companies

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The U.S. Department of Labor re-issued an Opinion Letter on the issue of independent contractor (IC) status of an on-demand virtual marketplace company (VMC) that refers end-market consumers to service providers who offer...more

BakerHostetler

DOL Softens Bite on Independent Contractor Test

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The DOL announced that it will not enforce the 2024 independent contractor rule. The pre-2024 multi-factor test will be used for FLSA worker classification disputes....more

Fisher Phillips

DOL Easing Up on Independent Contractor Misclassification Enforcement: 3 Key Points on This Big Win for Businesses

Fisher Phillips on

Businesses that rely on freelancers or the “gig economy” have cause for optimism now that the Department of Labor just announced it will no longer enforce a Biden-era final rule that made it harder to classify workers as...more

PilieroMazza PLLC

Multijurisdictional Employers, Part 1: Independent Contractors vs. Employees

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For employers managing a workforce across multiple jurisdictions, navigating the complexities of worker classification is essential to ensuring legal compliance and avoiding costly penalties. Whether you are dealing with...more

Troutman Pepper Locke

Garden State May Soon Become Even Less Hospitable to Independent Contractors ‎Than the Golden State

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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

Fox Rothschild LLP

NJ DOL Issues Proposed Rules on ABC Test for Independent Contractors

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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

Fisher Phillips

New EU Platform Work Directive Impacts Freelancers and Gig Economy: Here’s What Businesses Need to Know

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The European Union took a big step last year towards regulating digital labor platforms – and member states will need to adopt the new directive before the end of 2026. The directive seeks to curb worker misclassification,...more

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