Despite most of the government being occupied with the "shutdown" dilemma, the unaffected USDOL has remained busy and gifted us with two opinion letters today.
USDOL has finally clarified the so-called “20% Rule” limiting the use of the FLSA tip credit even with respect to individuals qualifying as “tipped employees”, and revised the Field Operations Handbook accordingly.
The USDOL recently announced that it will continue its Payroll Audit Independent Determination (PAID) program, and wasted no time beginning its efforts to further educate employers and attorneys about the benefits of the program.
USDOL has announced that it does not expect to address the FLSA white-collar exemptions (the so-called “overtime rule”) until March 2019 and has slotted "joint employment" for December 2018 instead.
The first of several USDOL "listening" sessions provided few answers. The primary question remains whether the agency will listen this time around as it takes on the FLSA's white-collar exemptions.
This week the USDOL has issued a press release announcing that it will hold “listening" sessions to "gather views” on the white collar exemptions and released new Opinion Letters addressing other FLSA topics, including the 7(I) overtime exemption for certain employees of qualifying retail and service establishments.
Tip credit controversies are alive and well as employers seek clarity on the USDOL's so-called 20% Rule regarding "tipped employees" engaging in activities that do not, or at least not directly, produce tips.
USDOL's recent Field Assistance Bulletin outlines the factors to be considered when the agency is evaluating independent contractor status.
Changes from USDOL have been numerous and fast paced. Take a second to look back on what has already happened in the federal wage and hour world in 2018, and what is yet to come.
USDOL's Payroll Audit Independent Determination (PAID) pilot program is meant to provide employers with the framework to proactively resolve potential FLSA claims. Nonetheless, on the whole, it seems that the benefits and risks are not particularly distinguishable from an investigation.