DOL Proposes New Rule Clarifying the Test for Classification of Workers

On September 22, 2020, the U.S. Department of Labor (DOL) issued a new proposed rule that would substantially simplify the test for determining whether persons are employees or independent contractors under the Fair Labor Standards Act (FLSA).

Because the FLSA does not actually define “employee,” courts have traditionally filled the void by applying an “economic realities” test that balances several factors. But in issuing a new proposed rule, the DOL noted that the current balancing test is difficult to apply, creates confusion, and is out of step with modern technology and working relationships.

For the full alert, visit the Faegre Drinker website.

Ninth Circuit Rules Amazon Drivers Fall Within FAA’s Transportation Worker Exemption

On August 19, the Ninth Circuit delivered the latest guidance in the long-running debate over the Federal Arbitration Act’s (FAA) scope. It held that Amazon delivery drivers can move forward with a nationwide class action — in court, not arbitration — because they fall within the FAA’s transportation worker exemption.

The case, Bernadean Rittmann v. Amazon.com, Inc., et al, Case No. 19-35381, dealt with a “last mile” delivery driver through Amazon’s app-based delivery program, Amazon Flex (AmFlex), who occasionally crossed state lines, but completed most deliveries intrastate. Upon starting work, the driver signed an agreement requiring him to bring claims against Amazon in arbitration.

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Families First Coronavirus Response Act FAQ

The Families First Coronavirus Response Act creates obligations for many employers to provide temporary relief to eligible employees affected by the COVID-19 pandemic. This FAQ answers commonly asked and anticipated questions regarding the paid leave provisions of the new law and is based on the final text of the legislation, as well as the legislative history of the bill.

For the full alert, please visit the Faegre Drinker website.

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