DOL WAGE & HOUR DIVISION’S “ADMINISTRATOR’S INTERPRETATION” NO INDEPENDENT CONTRACTOR COUP DE GRÂCE FOR TRUCKING—JUST NEW MOTIVATION FOR CONTINUED FOCUS

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On July 15, 2015, David Weil, Department of Labor Wage and Hour Division (the “Division” Administrator, issued the much anticipated and promised “administrator’s interpretation” (the “Memo”) on the issue of worker classification. The Memo was expected to provide the Division’s view of what constitutes an independent contractor. Instead, not surprisingly, the Memo is a bureaucratic employee advocacy piece, straining to convince readers that independent contractors really do not exist, and reminding readers, more than once per page, just how broadly the Fair Labor Standards Act (“FLSA”) defines employee. The sky is not falling though; the Memo does not mean motor carriers should convert all independent contractors to employees, or worse, shudder businesses or fleets altogether.

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DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.

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