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Labor/Employment

Jan. 7, 2021

New Labor Department contractor rule likely to be challenged

The rule, which the Department of Labor finalized Wednesday, simplifies the test for determining whether a worker is an independent contractor or an employee entitled to protections under the federal Fair Labor Standards Act.

A Joseph Biden administration and workers' advocates will likely challenge a new U.S. Department of Labor rule that makes it easier for businesses to classify workers as independent contractors, but it's unclear whether such a challenge will be prioritized in the coming months, attorneys say.

The rule, which the Department of Labor finalized Wednesday, simplifies the test for determining whether a worker is an independent contracto...

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