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Showing posts with the label Wage and Hour Division (WHD)

US Department of Labor proposes rule clarifying employee, independent contractor status under federal wage and hour laws

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WASHINGTON  – The U.S. Department of Labor’s  Wage and Hour Division  today announced a  proposed rule   designed to help workers and employers better understand how to determine when a worker is an employee and when the worker may be classified as an independent contractor under the Fair Labor Standards Act and related federal laws.  The proposed rule would rescind the department’s 2024 final rule addressing the classification of independent contractors and replace it with an analysis for employee classification similar to the one adopted by the department in 2021 . Consistent with Supreme Court and federal circuit court precedent, the proposed rule would make it easier to properly differentiate between employees with the protections under the Fair Labor Standards Act and those workers who work as independent contractors.  “The tens of millions of Americans who work as independent contractors are helping drive the Golden Age of the American ...

WHD Drops Proposal to End Subminimum Wages for Workers With Disabilities

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The U.S. Department of Labor (DOL) Wage and Hour Division (WHD) is withdrawing a Biden-era proposal to end the practice of paying subminimum wages to workers with certain disabilities after determining that the agency lacks statutory authority under the Fair Labor Standards Act (FLSA) to unilaterally terminate the practice. Quick Hits The WHD is withdrawing a December 2024 proposal to eliminate subminimum wage certificates for workers with disabilities. The agency, at the direction of the Trump administration, cited a lack of statutory authority to unilaterally terminate the program. On July 7, 2025, the WHD  published a notice  in the  Federal Register  announcing the withdrawal of a p roposed rule published on December 4, 2025, that would have phased out the practice of issuing certificates under Section 14(c) of the FLSA to allow employers to pay subminimum wages to certain workers with disabilities . Section 14(c) of the FLSA requires the DOL to issue certificate...

U.S. Department of Labor Expands Opinion Letter Program

On June 2, 2025, the U.S. Department of Labor (DOL) expanded its opinion letter program, which should provide guidance on areas handled by multiple enforcement agencies within the DOL . Publication of opinion letters is a priority for the Trump administration and this program is evidence of the federal government’s intention to issue more guidance to the public. Opinion Letter Process Opinion letters issued by the DOL are official publications that explain how the DOL enforces various laws and regulations under specific scenarios submitted by a requesting party. Opinion letters offer timely guidance to both employers and individuals, while also providing insight into the agency’s likely positions in future rulemaking or litigation. While they do not override existing statutes or regulations, they provide authoritative guidance that can help employers and individuals navigate compliance with greater confidence . Employers that rely on an opinion letter in good faith may use that relianc...