DOL Extends Comment Deadlines for Regular Rate and Joint Employer Proposals

On May 14, the U.S. Department of Labor announced an extension of the comment periods of its regular rate and joint employer proposals to June 12, 2019, and June 25, 2019, respectively. 

According to the DOL website, the Notice of Proposed Rulemaking on joint employer status under the Fair Labor Standards Act would ensure employers and joint employers clearly understand their responsibilities to pay at least the federal minimum wage for all hours worked and overtime for all hours worked over 40 in a workweek. The proposal includes a four-factor test that would consider whether the potential joint employer actually exercises the power to:

• hire or fire the employee;
• supervise and control the employee’s work schedules or conditions of employment;
• determine the employee’s rate and method of payment; and
• maintain the employee’s employment records.

The regular rate proposed rule aims to change the requirements that define what forms of payment employers include and exclude in the “time and one-half” calculation when determining workers’ overtime rates, according to the DOL website.

ABC’s General Counsel, Littler Mendelson P.C. published analyses with more information on both the joint employer and regular rate proposals.

ABC plans to submit comments on both proposals. The public may submit comments on the joint employer proposal here and on the regular rate proposal here.