
On February 5, 2021, the Department of Labor (DOL) published two notices of proposed ruling to delay the effective date of two rules finalized by the DOL under the Trump Administration regarding tips and independent contractor rules. The proposed delays are designed to allow the DOL “additional opportunity for review and consideration” of both rules.
The first rule is Tip Regulations Under the Fair Labor Standards Act (“Tip Regulations”), which was published on December 30, 2020, and set to go into effect on March 1, 2021. The proposed rule would delay the effective date of the Tip Regulations to April 30, 2021. Members of the public are invited to comment on the proposed delay through February 17, 2021.
The second rule is entitled Independent Contractor Status Under the Fair Labor Standards Act (“Independent Contractor Rule”), which was published on January 7, 2021, and set to go into effect on March 8, 2021. The proposed rule would delay the effective date of the Independent Contractor Rule to May 7, 2021. Members of the public are invited to comment on the proposed delay through February 24, 2021.
The DOL’s delay is in accordance with President Biden’s January 20, 2021 directive for agencies to issue a “Regulatory Freeze Pending Review” of agency actions.
As we have noted in previous posts, California has its own rules about independent contractors and tip pooling, which must be followed by companies operating in the state.
- Partner
Pooja S. Nair is a business litigator and problem solver with a focus on the food and beverage sector. She advises food and beverage clients, startups and other businesses on a comprehensive range of issues, including employment ...
Subscribe
Recent Posts
- LA County Mandates “Hero Pay” for Grocery Workers
- 'Notice-Prejudice Rule' Ruling Could Provide New Arguments
- FDA/USDA: No Transmission of COVID-19 Through Food/Food Packaging
- Department of Labor Proposes Delay on Tip Regulations and Independent Contractor Rule
- Ninth Circuit Revives P.F. Chang’s “Krab Mix” Lawsuit
- Employer Alert: New Compensation Threshold for Computer Software Overtime Exemption
- Restaurant Rescue Plan Approved by Senate
- Can Receivers Reject Leases For The Benefit of Creditors?
- A Reminder: The IRS Mileage Rates Have Changed
- Can Product Reviews Be Subject To Lanham Act Liability?
Blogs
Contributors
Archives
- February 2021
- January 2021
- December 2020
- November 2020
- October 2020
- September 2020
- August 2020
- July 2020
- June 2020
- May 2020
- April 2020
- March 2020
- February 2020
- January 2020
- December 2019
- November 2019
- October 2019
- September 2019
- August 2019
- July 2019
- June 2019
- May 2019
- March 2019
- February 2019
- January 2019
- November 2018
- October 2018
- September 2018
- August 2018
- July 2018
- June 2018
- May 2018
- April 2018
- February 2018
- January 2018
- December 2017
- November 2017
- October 2017
- September 2017
- August 2017
- July 2017
- June 2017
- May 2017
- April 2017
- March 2017
- February 2017
- January 2017
- December 2016
- November 2016
- October 2016
- September 2016
- August 2016
- July 2016
- June 2016
- May 2016
- April 2016
- January 2016
- December 2015
- November 2015
- October 2015
- September 2015
- August 2015
- July 2015
- June 2015
- May 2015
- April 2015
- March 2015
- February 2015
- January 2015
- December 2014
- November 2014
- October 2014
- September 2014
- August 2014
- July 2014
- June 2014
- May 2014
- April 2014
- March 2014
- February 2014
- January 2014