(from Fisher Phillips) Organizations will soon find it harder to classify workers as independent contractors thanks to key changes made by the U.S. Department of Labor (DOL) earlier this year. The Biden administration officially rescinded a rule that made it easier to classify workers as independent contractors under federal wage and hour rules. In its place, businesses must follow an older standard.
The new rule requires employers to consider not just the worker's opportunity for profit or loss and control over their work, but also the potential employee's required investment, permanency of the relationship, usage of specialized skills, and the extent to which the work is integral to the organization's business. Other top outcomes:
Read the new rule on the Federal Register website.
Attendees of the 2024 NBOA Annual Meeting and those with on-demand access can review the HR Hot Topics session, which covered the new rule at length. Recordings will be posted by March 15.
Listen to the latest episode of the Net Assets podcast.
