Co-authored by: Steve Shardonofsky and John P. Phillips

Seyfarth Synopsis: On November 7, 2017, the U.S. House of Representatives passed the Save Local Businesses Act. If passed by the Senate, the bill would overturn Obama-era decisions and agency guidance broadly defining and holding separate, unrelated companies liable as “joint employers” under federal wage & hour and labor law. Perhaps more
Continue Reading Passage of the Save Local Businesses Act in the House May Signal a Broader Rejection of Obama-Era Rules On Joint Employment

Authored by Alex Passantino

The White House announced its intent to nominate Cheryl Stanton to serve as the Administrator of the U.S. Department of Labor’s Wage & Hour Division. Stanton currently serves as the Executive Director for the South Carolina Department of Employment and Workforce. Prior to that, she worked in private practice as a management-side labor and employment attorney.
Continue Reading White House to Nominate S.C. Labor Official to Serve as WHD Administrator

Authored by Alex Passantino

On June 7, Department of Labor Secretary Alexander Acosta announced the withdrawal of the DOLs 2015 and 2016 Administrator Interpretations (AIs) on joint employment and independent contractors. These documents were statements of the Wage & Hour Division’s interpretations of the FLSAs (and Migrant and Seasonal Agricultural Worker Protection
Continue Reading DOL Withdraws Guidance on Joint Employment, Independent Contractors

Authored by Cheryl A. Luce

Seyfarth Synopsis: On May 25, 2017, Noah Finkel spoke at our full-day summit about what to expect from the DOL under the new administration. Noah’s forecast: “They say that the policy is the people, and we don’t yet have the people.” We have a Secretary of Labor and an interim Solicitor of Labor, but are
Continue Reading Wage and Hour Takeaways from Trump Post 100 Day Symposium

Co-authored by Julie Yap and Billie Pierce

Seyfarth Synopsis: A federal court in California recently held that a franchisor cannot be held liable for labor code claims where it did not exercise control directly, or through an actual agency relationship with the employer, over the terms and conditions of the workers’ employment. The decision limits claims against independent businesses based
Continue Reading Federal Court Serves Up Satisfying Seconds For California Franchisors: No Ostensible Agency Liability For Franchisees’ Alleged Labor Code Violations

Authored by Brett Bartlett

Seyfarth Synopsis: The Fourth Circuit Court of Appeals recently set forth a new standard for determining whether two or more businesses may be held responsible as joint employers for overtime pay due to a single worker because they are joint employers. Although more expansive than other courts’ standards — and even more so than former Wage
Continue Reading Wait! Did the Fourth Circuit Just Define FLSA Joint Employment More Broadly Than Obama’s DOL?

Authored by Alex Passantino

Seyfarth Synopsis:  WHD is seeking to enter into compliance agreements with, among others, franchisors.  Whether an employer should take WHD up on their offer to sign on the line depends on a variety of considerations.

Expanding upon a relationship started in 2012, the U.S. Department of Labor’s Wage & Hour Division and Subway announced a voluntary
Continue Reading Should Franchisors Become BFFs with WHD?

Authored by Alex Passantino

The President’s FY2017 budget request seeks a nearly $50 million increase in the Wage & Hour Division’s budget.  This more than 20% increase would fund, among other things, 300 additional investigative staff — putting the number of WHD employees over 2,000 for the first time in recent memory.  WHD also seeks around $9 million for
Continue Reading One Last Time: President Seeks Huge Increase to WHD Budget, Investigators