DOL Reverses Course on Independent Contractor Rule for 2025 - How Will Employers Adapt to the Change?

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SHRM & HRCI Approved Webinar | CEUs = 1.5 Credit Hours

Overview:

HRCI & SHRM Approved Webinar | CEUs = 1.5 Credit Hours

Overview:

In 2025, the Department of Labor (DOL) has signalled a shift in its enforcement position on independent contractor classification under the Fair Labor Standards Act (FLSA), potentially making it easier for businesses to classify workers as contractors. The DOL is no longer enforcing the 2024 independent contractor rule and will instead rely on a more traditional "economic reality" test for determining worker status. This shift may lead to more businesses classifying workers as independent contractors at the federal level.

Instead of the 2024 rule, the DOL will use the traditional "economic reality" test, which considers various factors like the degree of control by the employer, the permanency of the relationship, and the worker's opportunities for profit or loss. In place of the 2024 Rule, the DOL will apply the prior “economic realities” test as described in Fact Sheet #13 (2008) and Opinion Letter FLSA2019-6.

What will You Learn:

  • How the new Independent Contractor vs Employee will change the landscape for Employers
  • What tools Employers need to use to determine the classification of their workers
  • How freelancers will adapt to the updated classification when they initiate contracts with Employers
  • Which change will impact Employers the most
  • What the new rule’s six non-exhaustive factors to guide the independent contractor analysis
  • What legal cases will emerge as a result of this updated rule
  • Learn the most effective method Employers need to meet compliance expectations
  • What the “Economic Reality Test” is and how employees will be classified going further

Why you should Attend:

The DOL’s decision to suspend enforcement of the 2024 Rule means WHD investigators will evaluate independent contractor status under the FLSA using the more familiar, broad “economic reality” test the DOL has used for decades, which is widely viewed as more employer-friendly.

Although no new legal duties are being imposed, employers should continue to carefully assess how workers actually function in the job — not just how the job is written in contracts, job descriptions, or titles. While the 2024 Rule technically remains in place, the DOL WHD is not enforcing it. For now, the DOL is returning to its traditional interpretation of employee v. independent contractor status under the FLSA, while awaiting the outcome of ongoing litigation and considering potential rule changes.

Who should Attend:

  • All Employers
  • Business Owners
  • Company Leadership
  • Compliance professionals
  • HR Professionals
  • Managers/Supervisors

Margie Faulk

Margie Faulk

HR Compliance Officer

Margie Faulk is a senior level human resources professional with over 15 years of HR management and compliance experience. A current Compliance Advisor for HR Compliance Solutions, LLC, Margie, has worked as an HR Compliance advisor for major corporations and small businesses in the small, large, private, public, Non-profit sectors and International compliance. Margie has provided small to large businesses with risk management strategies that protect companies and reduces potential workplace fines and penalties from violation of employment regulations. Margie is bilingual (Spanish) fluent and Bi-cultural.

Margie’s area of expertise includes Criminal Background Screening Policies and auditing, I-9 document correction and storage compliance, Immigration compliance, employee handbook development, policy development, sexual harassment investigations/certified training, SOX regulations, OSHA compliance, payroll compliance, compliance consulting, monitoring US-based federal, state and local regulations, employee relations issues, internal investigations, HR management, compliance consulting, internal/external audits, and performance management.

Margie’s unique training philosophy includes providing free customized tools for all attendees. These tools are customized and have been proven to be part an effective risk management strategy. Some of the customized tools include the I-9 Self Audit. Correction and Storage program, Ban the Box Decision Matrix Policy that Employers can provide in a dispute for allegations, Family Medical Leave Act (FMLA) Compliance Guide, Drug-Free Workplace Volatile Termination E-Book and other compliance program tools when attendees register and attend Margie’s trainings. Margie holds professional human resources certification (PHR) from the HR Certification Institution (HRCI) and SHRM-CP certification from the Society for Human Resources Management. Margie is a member of the Society of Corporate Compliance & Ethics (SCCE).

Continuing Education Accreditations

Upon successful completion of this training program, attendees will receive a verified accredited CEU completion certificate. This program qualifies for professional CEU credits under licensed standard compliance regulations (including HRCI recertification credits, SHRM professional development credits, and general corporate licensing metrics).

Immediately after the course finishes, you can claim your certificate from your student dashboard, or check your registered email address for a secure PDF copy.

Don't worry! If you miss the live broadcast, contact our live support or payroll team, and we will immediately provide you with access to the On-Demand recording at no extra fee.

Yes! All continuing education webinars at CEUTrainers are fully accredited and pre-approved by the HR Certification Institute (HRCI) and the Society for Human Resource Management (SHRM).