WHD Gives Interpretation of “Who is an Independent Contractor”

The Wage and Hour Division (WHD) of the U.S. Department of Labor has issued an Administrator’s Interpretation 2015-1: The Application of the Fair Labor Standards Act’s “Suffer or Permit” Standard in the Identification of Employees Who Are Misclassified as Independent Contractors. This Interpretation explains in greater detail how the WHD would use the “Suffer or Permit to Work” standard in identifying employees who are misclassified as independent contractors. In addition, the WHD has discussed the same subject on its July 15, 2015 blog in less legalese but still illuminating.

 

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