Aryeh Leichter, the Los Angeles employment law attorney at the Leichter Law Firm, APC, represents California employees who have been misclassified by their employers as independent contractors so they can seek the wages they are owed.
On January 10, 2024, the U.S. Department of Labor (DOL) published its final rule that revises its guidance regarding the standard for assessing whether a worker is an employee or independent contractor under the Fair Labor Standards Act (FLSA), making it more difficult to classify workers as independent contractors.
What is the Department of Labor’s Final Rule for Independent Contractor Classification?
The DOL’s final rule for independent contractor classification applies to workers in any industry. It sets equally applied factors for assessing whether a worker is an employee or an independent contractor.
They include the:
- Opportunity for profit or loss depending on managerial skill.
- Investments by the worker and the potential employer.
- Degree of permanence of the working relationship.
- Nature and degree of control.
- Extent to which the work performed is an integral part of the potential employer’s business.
- Skill and initiative.
The updated final rule skews in favor of classifying workers as employees over independent contractors. Misclassifying employees as independent contractors can carry significant liability under the FLSA, including unpaid minimum wages, overtime, liquidated damages, and attorneys’ fees and costs. The new final rule goes into effect on March 11, 2024.
Contact Our Employment Law Attorney for Help Today
California employees who believe their employers are misclassifying them should contact Aryeh Leichter, the Leichter Law Firm, APC founder, and employment law attorney in Los Angeles County, today to discuss the legal remedies that may be available for their unique workplace circumstances, starting with a free consultation by calling (818)-915-6624 or contacting the firm online.