Yesterday the U.S. Department of Labor (“U.S. DOL”) and the Vermont Department of Labor (“VDOL”) signed a three-year memorandum of understanding to share information and conduct joint investigations regarding independent contractor misclassification. The agreement is part of the U.S. DOL’s Misclassification Initiative, the goal of which is to prevent, detect, and remedy employee misclassification. Just … Continue Reading
The U.S. Department of Labor (“U.S. DOL”) and the Alaska Department of Labor and Workforce Development recently signed a memorandum of understanding to share information and conduct joint investigations regarding independent contractor misclassification. The agreement is part of the U.S. DOL’s Misclassification Initiative, the goal of which is to prevent, detect, and remedy employee misclassification. Just last … Continue Reading
On July 23, 2015, the Second Circuit, in Lola v. Skadden, Arps, Slate, Meagher & Flom LLP, Tower Legal Staffing, Inc., revived a putative collective action brought by David Lola, a contract attorney, against Skadden and Tower Legal Staffing, Inc., alleging violations of the overtime provisions of the Fair Labor Standards Act. The Second Circuit … Continue Reading
As forecast in our June 12, 2015 blog post David Weil, Administrator of the Department of Labor’s Wage and Hour Division (WHD) has released Administrator’s Interpretation (AI) No. 2015-1, entitled “The Application of the Fair Labor Standards Act’s ‘Suffer or Permit’ Standard in the Identification of Employees Who Are Misclassified as Independent Contractors.” The AI provides … Continue Reading
According to an Article in Law360, on June 5, 2015, David Weil, Administrator of the Department of Labor’s Wage and Hour Division, stated that his Office is preparing to release guidance addressing how to assess whether a worker is properly classified as an independent contractor. Weil made the announcement at New York University’s 68th Annual … Continue Reading
Last week, New Jersey’s highest court ruled in Hargrove v. Sleepy’s, LLC, No. A-70-12 (Jan. 14, 2015), that the so-called “ABC test” applies when determining whether a worker is an employee or independent contractor under the New Jersey Wage Payment Law (“WPL”) and Wage & Hour Law (“WHL”). That test presumes an individual is an employee … Continue Reading
Rhode Island’s Joint Task Force on the Underground Economy and Employee Misclassification announced earlier this month that it has set up an anonymous telephone tip line for reporting allegations of independent contractor misclassification. The Task Force was established to reduce worker misclassification. It consists of representatives from Rhode Island’s Department of Labor and Training (DLT), the … Continue Reading
The U.S. Department of Labor (“U.S. DOL”) and the New Hampshire Department of Labor recently signed a memorandum of understanding to share information regarding independent contractor misclassification. The agreement is part of the U.S. DOL’s Misclassification Initiative, with the goal of preventing, detecting, and remedying employee misclassification. Just last month Alabama’s Department of Labor entered into … Continue Reading
Recently, the U.S. Department of Labor announced awards of $10,225,183 in grants to 19 states to implement or improve worker misclassification detection and enforcement initiatives in their unemployment insurance programs. California, Delaware, Florida, Hawaii, Idaho, Indiana, Maryland, Massachusetts, New Hampshire, New Jersey, New Mexico, New York, Oregon, South Dakota, Tennessee, Texas, Utah, Vermont, and Wisconsin … Continue Reading
Recently, courts in highly-publicized independent contractor misclassification cases in the transportation sector have issued determinations finding the workers to be employees. However, a recent decision from the Southern District of New York demonstrates that there are independent contractor business models in the sector that will be upheld by the courts. In Saleem v. Corporate Transportation … Continue Reading
As of April 10, companies in the commercial goods transportation industry must comply with strict rules governing use of independent contractors. The Commercial Goods Transportation Industry Fair Play Act creates a presumption that any person transporting commercial goods (e.g., truck drivers) are employees. It also amends the unemployment and workers compensation insurance law to require … Continue Reading
Last week, President Obama directed the U.S. Department of Labor to revise and modernize the “white- collar” overtime exemptions of the Fair Labor Standards Act to extend overtime benefits to a broader range of workers. This alert summarizes the President’s Memorandum, outlines what employers might expect in the coming months, and reminds employers to remain proactive … Continue Reading
On Friday, January 10, 2014, Governor Cuomo signed into law the New York State Commercial Goods Transportation Industry Fair Play Act (the Act), which is effective on March 11, 2014. The Act amends the New York Labor Law to create a presumption that any person performing commercial goods transportation services for a commercial goods … Continue Reading
On July 23, 2013, Illinois Governor Pat Quinn (Dem.) signed into law two amendments to the Employee Classification Act, a law that regulates the classification of workers in the construction industry. The Act imposes a three-pronged test to determine independent contractor status for individuals, along with a 12-part test for individuals operating as sole proprietors … Continue Reading
On Thursday, May 30, 2013, the New Jersey Senate gave final legislative approval to a controversial bill to establish a presumption that port and parcel delivery truck drivers are employees of the companies for which they make deliveries. If the bill is signed into law, such drivers will no longer be considered independent contractors – … Continue Reading
On June 24, 2013, Connecticut Governor Dan Malloy signed into law the “Act Concerning Certain Motor Vehicles and Eligibility for Unemployment Benefits” after lawmakers unanimously approved the measure. The law, which takes effect on October 1, will make it easier for independent truck operators in the state to be deemed independent contractors for purposes of … Continue Reading
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