The Labor & Employment Blog provides employers with breaking news, insights, and legal analysis on the wide range of labor and employment issues facing employers and businesses. While the Blog provides a general summary of regulation updates, it is not intended to be, and should not be relied upon as, legal advice. The labor & employment attorneys at Chamberlain Hrdlicka stand ready to counsel employers on the issues they face.
Larry Carbo, Shareholder and Co-Chair
Diana Perez Gomez, Shareholder and Co-Chair
Julie Offerman, Shareholder
Kellen Scott, Shareholder
Leslie Tan, Senior Counsel
Elizabeth Feeney, Associate
AmyJo "AJ" Foreman, Associate
Chamberlain Hrdlicka Blawgs
Last week, the United States Department of Labor (DOL) released the final version of the Employee or Independent Contractor Classification (the “Final Rule”). The Final Rule is published in the Federal Register and will take effect on March 11, 2024.
The Final Rule rescinds the broader rule issued during former President Donald Trump’s presidency, which focused heavily on the worker’s control over the work and opportunity for profit or loss in determining whether a worker is an employee or independent contractor under the Fair Labor Standards Act (FLSA). Under the Final Rule, the following six factors are to be considered in this analysis: (1) the worker’s opportunity for profit or loss; (2) investments made by the worker and the potential employer; (3) the degree of permanence of the work relationship; (4) the nature and degree of the potential employer’s control over the work; (5) the extent to which the work performed is “integral” to the potential employer’s business; and (6) the worker’s skill and initiative. The Final Rule states that no single factor is dispositive and the “totality of the circumstances” should be considered.
The Final Rule has major ramifications for businesses because workers found to be misclassified as independent contractors are entitled to recover minimum wage, overtime pay, liquidated damages, and attorneys’ fees under the FLSA. Accordingly, employers should review their independent contractor agreements and classifications of workers in light of the Final Rule.
Chamberlain Hrdlicka’s Labor & Employment Group is available to answer any questions and provide counsel on whether workers are properly classified as independent contractors under the Final Rule. Feel free to forward the Labor & Employment Alerts to others who might be interested. If you have questions, please send an e-mail or call us.
AssociateAmyJo "AJ" Foreman is an associate in the litigation section. Her practice focuses primarily on commercial litigation, labor & employment, and appellate matters.
AJ graduated from the University of Houston Law Center where she was ...
AssociateBennett Huddleston is an associate in the Litigation section. His practice focuses primarily on Commercial Litigation and Labor & Employment. Bennett's background and experiences has prepared him to be an effective advocate and ...
ShareholderLarry Carbo maintains an active, nationwide commercial litigation practice and has tried over 30 cases to final verdict in state court, federal court and before arbitration tribunals. Larry focuses on the representation of ...
ShareholderDiana Gomez is a talented trial attorney with extensive experience in civil lawsuits in state and federal courts. She focuses on complex labor and employment disputes by providing a full range of employment law services to her ...
AssociateElizabeth "Liz" Feeney is an associate in the Commercial Litigation section, focusing primarily on labor and employment matters. She graduated from the SMU Dedman School of Law and began her career at a mid-sized firm in Fort Worth ...
AssociateHannah Strawser is an associate in the Houston office and a member of the Firm's Commercial Litigation section, focusing primarily on labor and employment matters.
Hannah attended the University of Houston Law Center where she was ...
ShareholderJulie is an experienced litigation attorney in Chamberlain’s Houston office. She has substantial experience defending employers nationwide in wage and hour class and collective action lawsuits, including matters involving ...
ShareholderMr. Scott maintains a general civil litigation practice in state and federal courts, with particular emphasis on employment law, governmental defense, and civil rights.
His practice includes the defense of employers and ...
Senior CounselLeslie Tan is an experienced attorney specializing in labor and employment matters and complex civil litigation. Ms. Tan enjoys guiding employers through challenging situations, from counseling on daily operations to ...
AssociateLucas Meng joined Chamberlain Hrdlicka’s Commercial Litigation practice, specializing in labor and employment. He is an active litigator in federal and state court, where he defends clients in a wide variety of employment law ...