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Federal Updates
Mar 29, 2021 3:05:00 PM
U.S. Department of Labor (DOL) Independent Contractor and Tip-Sharing Rules
Independent Contractor Rule
The DOL is proposing to withdraw the Department’s “Independent Contractor Status under the Fair Labor Standards Act” rule that was delayed to May 7, 2021. The public can submit comments on this up to April 12. You can learn more here.
Tip-Sharing Rule
Regulations prohibiting managers from keeping tips and allowing employers to include non-tipped workers in certain tip pools will take effect April 30 as scheduled. If an employer does not take a tip credit, it may allow workers such as cooks or dishwashers, to share in a mandatory tip pool. Employers, managers, and supervisors are explicitly prohibited from keeping tips received by employees.
The DOL proposed to delay other portions of the rule to December 31. The DOL wants to revisit provisions affecting civil money penalties and the application of the FLSA tip credit to tipped employees who perform both tipped and non-tipped duties. Stay tuned for further information but you can learn more here.
EEOC Announces Opening Date For the Collection of 2019 and 2020 EEO-1 Component 1 Data
The U.S. Equal Employment Opportunity Commission (EEOC) announced on March 29 that the 2019 and 2020 EEO-1 Component 1 data collection will open on Monday, April 26, 2021. The EEO-1 Component 1 collects workforce data from employers with 100 or more employees (and federal contractors with 50 or more employees).
Upon request, FrankCrum submits the EEO-1 report for clients that are required to do so, and those that don’t wish to handle the process themselves. Covered clients (100 or more employees/50 or more employees if a federal contractor) will be contacted the end of April about EEO-1 reporting for this year.
Previous Updates
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