Courtesy of Gardner Skelton Attorneys at Law

The U.S. Department of Labor (“DOL”) released a new final rule regarding the classification of workers under the Fair Labor Standards Act (“FLSA”).This matters very much to all employers because the FLSA applies to all employers. Furthermore, state wage laws, including North Carolina’s Wage and Hour Act, are modeled on and/or incorporate portions or aspects of the FLSA. An employer’s misclassification of a worker as an independent contractor when the worker is legally an employee can have very expensive consequences. The new rule becomes effective on March 11, 2024. Employers should act now to determine whether their worker classifications will be affected.

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