People Processes

Proposed joint employer rule includes 4-factor test: hiring and firing, supervision and control, payment, and recordkeeping Noting it has not meaningfully revised its joint employer regulation since 1958, the Labor Department has announced via press release a https://www.dol.gov/whd/flsa/jointemployment2019/joint-employment_NPRM.pdf (proposed rule) to revise and clarify the responsibilities of employers and joint employers. The FLSA allows joint employer situations where an employer and a joint employer are jointly responsible for the employee’s wages. DOL proposes a four-factor test to consider whether the potential joint employer actually exercises the power to: Hire or fire the employee; Supervise and control the employee’s work schedules or conditions of employment; Determine the employee’s rate and method of payment; and Maintain the employee’s employment records. The proposal would ensure employers and joint employers clearly understand their responsibilities to pay at least the fede