Department of Labor Final Rule

On Jan. 7, 2021, the Department of Labor (DOL) published its final rules for determining whether a worker is an independent contractor or an employee for purposes of the Fair Labor Standards Act (FLSA). The rules take effect on Mar. 8, 2021. The rules are important because businesses and organizations must comply with the wage and hour provisions of FLSA for employees but not for independent contractors. Although school districts do not routinely deal with the scenario of questioning whether someone is an employee or independent contractor, it does come up on occasion.

New employee salary exemption rules announced

On Sept. 24, 2019, the U.S. Department of Labor (“DOL”) announced its final rule regarding changes to the salary thresholds for employee exemptions from the overtime requirements of the Fair Labor Standards Act (“FLSA”).