SHRM Statement on Independent Contractor Rule

ALEXANDRIA, Va – SHRM Chief of Staff and Head of Public Affairs, Emily M. Dickens, released the following statement on the Wage and Hour Division (WHD) of the Department of Labor (DOL) final rule, effective March 11, 2024, for determining employee or independent contractor classification under the Fair Labor Standards Act.

SHRM STATEMENT ON INDEPENDENT CONTRACTOR RULE

“SHRM appreciates DOL’s efforts in developing a rule to classify workers.

 SHRM acknowledges and values the Department of Labor's (DOL) dedication to formulating a rule for worker classification. In these challenging and rapidly evolving economic times, the provision of independent work opportunities is crucial for competitiveness in the global marketplace. This pivotal ruling underscores the importance of clear and consistent regulations, fostering diverse business relationships essential for the demands of the modern economy. HR plays a vital role in ensuring proper worker classification. However, the ongoing shifts in regulatory guidance impose compliance burdens and legal uncertainties on HR professionals and business executives.

Moving forward, SHRM remains committed to collaborating with the DOL/WHD and our 325,000+ members to provide education and support for compliance with this rule. Concurrently, SHRM will persist in advocating for sensible bipartisan legislative solutions aimed at modernizing the Fair Labor Standards Act.”

About SHRM

SHRM creates better workplaces where employers and employees thrive together. As the voice of all things work, workers, and the workplace, SHRM is the foremost expert, convener, and thought leader on issues impacting today's evolving workplaces. With nearly 325,000 members in 165 countries, SHRM impacts the lives of more than 235 million workers and families globally. Learn more at SHRM.org.