This month we bring you the latest news on employment and payroll law for June 2023. Get caught up on the most recent changes in legislation, as well as updates on cases and law developments that could impact your business.
Federal Court Orders Tennessee Security Provider To Pay More Than $632k To 105 Workers Misclassified As Independent Contractors
A federal court in Nashville has affirmed the findings of an investigation that determined a Tennessee security and traffic control services provider and its owner misclassified 105 workers as independent contractors, including some who worked as security guards in Puerto Rico after Hurricane Maria.
The U.S. Department of Labor filed suit after an investigation by its Wage and Hour Division determined individuals doing security and traffic control work for EM Protective were, in fact, employees and not independent contractors. As such, the employer was required to pay these workers minimum wage and overtime, as the Fair Labor Standards Act requires.
Read the full story from the US DOL here.
California High Court Takes Independent Contractor Initiative
We’re seeing more and more evolution of the major gig platforms (Uber, DoorDash, etc.) trying to take on the California Supreme Court over whether they are lawfully permitted to treat workers as independent contractors. This has been a grueling battle over the last few years, but it sounds like we may have a final ruling on the matter soon enough.
Read the full story from Bloomberg Law here.
Stay Abreast of Laws Restricting AI in the Workplace
It’s no secret that AI is working its way more and more visibly into the workplace. With employers relying more often on artificial intelligence (AI) to help hire new workers, states have begun implementing new laws and regulations to govern how employers can deploy such tools.
While not a major issue at the current moment, expect to see massive state and local changes in the space over the coming months.
Read the full story from SHRM here.