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ARTICLE · 05 MARCH 2020

DOL Issues Final Rule On Joint Employers – Effective March 16, 2020

Kutak Rock LLP
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On January 12, 2020, the U.S. Department of Labor ("DOL") issued a final rule revising and updating its regulations regarding joint employer status under the Fair Labor Standards Act ("FLSA").

United StatesEmployment and HR
Marcia Washkuhn
Marcia Washkuhn
Gigi O'Hara
Gigi O'Hara
Kate E. Jones
Kate E. Jones
Clete P. Samson
Clete P. Samson
Kasey M. Cappellano
Kasey M. Cappellano
Meaghan M. Gandy
Meaghan M. Gandy
Ryan P. Calley
Ryan P. Calley

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On January 12, 2020, the U.S. Department of Labor (“DOL”) issued a final rule revising and updating its regulations regarding joint employer status under the Fair Labor Standards Act (“FLSA”).  The DOL had not substantively modified its regulations on this issue for over 60 years.  As a result, federal appellate courts have created a variety of standards to determine joint employer status for purposes of FLSA compliance. 

The FLSA provides that employees must be paid minimum wage for all hours worked and overtime for work in excess of 40 hours per week.  Under this law, any joint employers are jointly and severally liable for the employee’s required minimum wage and overtime pay.

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