Scott Hecker Quoted in Law360’s “Wage and Hour Policy Developments to Watch This Fall”

Scott Hecker, Senior Counsel at Conn Maciel Carey LLP, was quoted in Law360’s “Wage and Hour Policy Developments to Watch This Fall,” by Max Kutner.

The following is an excerpt from the article:

This fall, the U.S. Department of Labor could finalize a previously announced independent contractor rule. A spring regulatory agenda said the agency expected the final version in October, though regulatory delays are common.

If finalized, the rule would replace an independent contractor standard from former President Joe Biden’s administration with an economic reality test containing two core factors for determining whether a worker is economically dependent on an employer or in business for themselves.

The two core factors are the nature and degree of control over the work, and the worker’s opportunity for profit and loss based on initiative or investment.

Independent contractors often lack benefits and protections mandated for employees, such as minimum wage and overtime pay.

Scott Hecker of management-side firm Conn Maciel Carey LLP, who previously worked at the DOL, said companies should keep in mind that court standards for independent contractor status can differ from DOL regulations.

“You want to make sure you’re aligned with DOL and showing that you’re following that in good faith, but you also want to make sure that you’re digging in on all the factors,” he said. “Even if DOL has the core factors, consider the economic realities as a whole, so that if you wind up in a litigation situation, you have a good faith justification that you properly classified your workers.”

Read the full article on law360.com (subscription required).