Well, well, well… looks like the U.S. Department of Labor (DOL) just hit the brakes—and then slammed it into reverse.
Deputy Secretary of Labor Keith Sonderling took to LinkedIn to drop the tea: the DOL’s Wage & Hour Division (WHD) has issued new enforcement guidance—FAB 2025-1—that puts the 2024 independent contractor rule on ice.
And what’s replacing it? Oh honey, we’re going full throwback:
- Fact Sheet 13 (hello, 2008 called and wants its guidance back)
- Opinion Letter FLSA2019-6, the gig economy’s BFF, which backs independent contractor status for workers who call their own shots and take on business risk.
Translation? The DOL is saying, “Let’s chill on the whole ‘everyone’s an employee’ thing… for now.”
In fact, this isn’t just a pause—it’s a retro revival. 📼
But before you throw a party—pump the brakes, boss. This isn’t a free pass to misclassify everyone as an independent contractor. Here’s the catch:
- Courts can still apply the 2024 Rule in private lawsuits (yes, really)
- States like California are out here with their ABC test, and they are not playing
So what’s an employer to do?
✔️ Revisit those worker classifications using the 2008 economic realities test
✔️ Stay woke on state laws—federal flex doesn’t cancel local strictness
✔️ Don’t blink—more changes could be coming as the DOL rethinks the 2024 Rule
Sonderling’s official post: https://www.linkedin.com/posts/keith-sonderling_us-department-of-labor-issues-guidance-on-activity-7323825814544789504-rfP0/
Fact Sheet 13 https://www.dol.gov/sites/dolgov/files/WHD/fact-sheets/whdfs13.pdf
