Blogs / Events / Articles / News

Secretary of Labor Withdraws Previous Guidance on Joint Employment and Independent Contractors

In a Department of Labor news release yesterday, new U.S. Secretary of Labor Alexander Acosta announced the withdrawal of two Obama-era Administrator Interpretations, effectively rolling back the scope of the Fair Labor Standards Act and its application to joint employment and independent contractors.  These two interpretations, issued by the former Administrator of the DOL’s Wage and Hour Division (“WHD”) in July of 2015 and January of 2016, were not legally binding.  However, both publications sent a message to the employer community that the DOL and WHD would take a broad view of the applicability of the FLSA to companies that characterize their workers as independent contractors or share employees with other organizations. Continue Reading