USDOL Continues to Crack Down on Independent Contractor Misclassification

The United States Department of Labor (“USDOL”) just announced plans to survey employees about their knowledge of basic employment laws and regulations. It appears that one of the focuses of the USDOL's survey will be on rules governing independent contractor status. Currently, employers are not required to inform workers of their employee versus independent contractor status. This could all change as the announcement indicates that the USDOL is moving towards issuing right-to-know regulations and may even prompt Congress to take legislative action to address the increase in cases involving the misclassification of workers as independent contractors. The message from the USDOL is clear – the misclassification of workers is still on its radar. For this reason, we recommend that you review your classifications to ensure they are consistent with the applicable IRS and DOL independent contractor status tests. For more information, including details about how to obtain a copy of the USDOL’s plan, please contact John R. Vreeland, Esq., Director of the firm’s Wage & Hour Compliance Practice Group, jvreeland@genovaburns.com, or Douglas J. Klein, Esq., dklein@genovaburns.com.