At a glance
- The Department of Labor (DOL) announced it will no longer enforce the 2024 independent contractor rule under the Fair Labor Standards Act (FLSA).
- While the 2024 rule remains in effect for private litigation, the DOL is reconsidering it and is expected to formally rescind it.
- Since May 1, 2025, the DOL have enforced the FLSA using guidance from Fact Sheet #13 (July 2008) and Opinion Letter FLSA2019-6, particularly for virtual marketplace platforms.
- The Field Assistance Bulletin (FAB) clarifies that the announcement does not alter employee rights or employer obligations under the FLSA.
The DOL released a FAB stating that it will no longer enforce a 2024 Biden-era independent contractor rule under the FLSA.
While the announcement does not formally rescind that rule, the DOL is reconsidering the rule and is expected to rescind it. The FAB further notes that, effective May 1, 2025, the DOL will enforce the FLSA in accordance with Fact Sheet #13 (from July 2008) and as further informed by the reinstated Opinion Letter FLSA2019-6, which addresses classification in the context of virtual marketplace platforms.
The FAB notes that, until further action is taken, the 2024 Rule remains in effect for purposes of private litigation and nothing in the FAB changes the rights of employees or responsibilities of employers under the FLSA, see Fact Sheet #13 (March 2024).
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