As noted in a prior newsletter, President Biden’s Chief of Staff froze rules that had not yet gone into effect as to the Department of Labor’s proposed sweeping independent contractor rule changes. On February 3, 2021, the DOL proposed extending the initial effective date of that independent contractor rule. That proposal issued by the DOL’s Wage & Hour Division would extend the effective date of those rules by another 60 days. The DOL’s Wage & Hour Division must seek comment on that proposed extension period as a formality and it has now done so.
Many commentators are now predicting that those independent contractor rules will ultimately be withdrawn. We will continue to monitor the situation and advise as to the Biden Administration’s further pronouncements as to this issue.