Independent Contractors

Effective today, May 7, 2021, the U.S. Department of Labor (“DOL”) is officially withdrawing independent-contractor rule approved in early January and at the end of the Trump Presidency, which would have made it easier for businesses to classify workers as independent contractors rather than employees under the Fair Labor Standards Act (“FLSA”).

Under President Trump’s

Employers who believe that they may have been erroneously classifying employees as independent contractors may now take advantage of a new IRS voluntary compliance program.  This program allows employers to reclassify any workers erroneously treated as independent contractors.  Employers who choose to do so may take advantage of the program’s lower cost settlement terms and