Misclassifying employees as independent contractors is a costly mistake. Under the federal Fair Labor Standards Act (FLSA), the difference between an employee and an independent contractor depends on the circumstances under which work is performed. The distinction has major implications for wage and benefit structures. Unfortunately, businesses routinely fall into the trap of classifying workers based on external criteria – such as cost savings, independent contractor agreements, or franchise operation – rather than on work circumstances.
This winter, in an effort to reach both businesses and workers, the DOL added several misclassification resources to its website. The additions include a mythbusters page […]
In a surprise move just nine days before the regulation was to take effect, a Texas Federal Judge issued a nationwide preliminary injunction on the regulation that would require employers to start paying overtime to workers earning salaries under $47,476.00 a year, regardless of the primary duties of that employee. The regulation was to take effect December 1, 2016. Due to the preliminary injunction, the current salary threshold of $23,660.00 will remain in effect. This post will be updated as more information becomes available. Please refer to the article below for complete information on the rule […]
The City of St. Paul recently passed an ordinance requiring employers to provide sick leave for employees. The ordinance, St. Paul City Ordinance 16-29 (available here), will be phased in beginning July 1, 2017. The ordinance is very similar to one passed earlier this year by the city of Minneapolis, but applies to all employers, regardless of size. If you’re an employer in the Twin Cities metro area, familiarize yourself with these requirements.
The ordinance requires employers to provide employees with one hour of sick/safe leave for every 30 hours worked. Employees may […]
Workers Have the Right to Reveal Wages
Minnesota employees now have a legal right to share and discuss their wages. A new law bars employers from requiring workers to sign wage nondisclosure agreements or punishing them for discussing their wages. The law, codified as Minn. Stat. § 181.172, was passed as part of a bill aimed at increasing gender equity, but it applies to all employees. While many workers will prefer to keep their pay to themselves, employers can no longer expect or require a veil of silence when it comes to wages.
Companies with handbooks should also […]