WINTER 2024 Digital - FINAL3 | Page 8

Government Affairs

BY RICH MEADE , CHAIRMAN , PRIME POLICY GROUP
Here are some of the recent developments in Washington that the CLDA is monitoring and playing a part in because of their potential to impact your business :
The IC Issue
Be sure to look for continuing Government Affairs updates via the CLDA Twitter account (@ theCLDA ) as well as on the CLDA website and email alerts .
If you have any questions on the CLDA Government Affairs activities or would like to become more involved , please contact Mark McSweeney , mmcsweeney @ clda . org .
On Tuesday , January 9 , the Department of Labor ( DOL ) issued the final version of the rule for determining employee or independent contractor classification under the Fair Labor Standards Act ( FLSA ). The rule was published in the Federal Register the following day and will be implemented on March 11 , 2024 .
While the final rule made some modifications to the proposed rule as recommended by the CLDA , overall , it is still problematic and will impact many of the CLDA members . The positive changes are outlined below :
• Nature and degree of control . The proposed rule stated that when an employer requires an independent contractor to comply with other regulations or laws ( like those involving traffic safety ) that constitutes enough control , the IC should be considered an employee . The final rule loosens that up to say that if the employer goes beyond those laws or regulations , that will constitute enough control to make the IC an employee , but basic compliance with laws and regulations does not constitute an employee relationship .
8 customized logistics & delivery Magazine I winter 2024