As of early March 2026, the most significant U.S. Department of Labor (DOL) employment regulation is a proposed rule announced on February 26-27, 2026, to overhaul the independent contractor classification standard. This rule seeks to rescind the 2024 “totality-of-the-circumstances” framework and return to a “core factors” economic reality test, prioritizing control and profit/loss opportunity.
In addition to formally rescinding and replacing the 2024 Rule released by the Biden Administration, the Proposed Rule brings back the independent contractor test from the DOL's 2021 Rule, which was issued in the final days of the first Trump Administration. The 2024 Rule used a six-part test of independent contractor status, with no item being more strongly weighted, to examine independent contractor status based on the "totality of the circumstances." The Proposed Rule states that two fundamental elements—control over the job and the chance for profit and loss—are given more weight under the now-revived 2021 Trump Administration Rule and are typically decisive in most situations.
Why should you attend this:
DOL states that the 2024 Rule was unworkably vague, led to unpredictable outcomes, and “could be viewed as setting a higher bar to find independent contractor status than the law requires.” As a result, the 2024 Rule had a “chilling effect” on the use of independent contractor arrangements, did not adhere to U.S. Supreme Court precedent, and was incompatible with the modern economy, according to the DOL.
The proposed rule also aims to benefit independent contractors, according to the DOL. For example, the DOL noted that under the current framework, assessing a worker’s and employer’s relative investments could disadvantage contractors, since a company’s investment will likely exceed that of an individual contractor. If the test is too complicated or burdensome to meet, employers may simply abandon independent contractors in favor of employees.
Areas covered in the sesssion:
Who should attend this:
Margie Faulk is a senior-level human resources professional with over 15 years of HR management and compliance experience. A current Compliance Advisor for HR Compliance Solutions, LLC, Margie, has worked as an HR Compliance advisor for major corporations and small businesses in the small, large, private, public, and Non-profit sectors. Margie has provided small to large businesses with risk management strategies that protect companies and reduce potential workplace fines and penalties from violations of employment regulations. Margie is bilingual (Spanish) fluent and Bi-cultural.
Margie’s area of expertise includes Criminal Background Screening Policies and auditing, I-9 document correction and storage compliance, Immigration compliance, employee handbook development, policy development, sexual harassment investigations/certified training, SOX regulations, payroll compliance, compliance consulting, monitoring US-based federal, state and local regulations, employee relations issues, internal investigations, HR management, compliance consulting, internal/external audits, and performance management.
Margie is a speaker and accomplished trainer and has created and presented compliance seminars/webinars for over 16 US and International compliance institutes. Margie has testified as a compliance subject matter expert (SME) for several regulatory agencies and against regulatory agencies, thank goodness not on the same day. Margie offers compliance training to HR professionals, business owners, and leadership to ensure compliance with workplace and regulatory requirements.
Margie holds a professional human resources certification (PHR) from the HR Certification Institute (HRCI) and SHRM-CP certification from the Society for Human Resources Management. Margie is a member of the Society of Corporate Compliance & Ethics (SCCE).
