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DOL delays the repeal of the joint employer rule repealed in BRIEF by Trump-era era

DOL delays the repeal of the joint employer rule repealed in BRIEF by Trump-era era

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The United States Department of Labor said on Monday that to comply with administrative requirements, it would push back one week, repealing a rule made during the Trump administration that made it easier to maintain the responsibilities of companies as "joint

DOL said the rule's withdrawal will take effect on Oct. 5 rather than Sept. 28 because the Congressional Review Act bars regulations from being repealed fewer than 60 days after agencies submit reports to Congress.

According to the notice, the Senate of the United States was informed of an repeal of a joint employer rule on Aug. 6 in the memo.

DOL in July said the March 2020 rule violated the Fair Labor Standards Act and improperly limited the factors that courts and the agency could use to determine whether companies could be jointly liable for wage-law violations.

Under the rule, companies would be considered joint employers only if they hire, fire and supervise workers, set their pay and maintain their employment records.

In the Obama administration, DOL applied a broader standard to look at the economic realities of the employment relationship, such as the nature of work being performed and the ability of companies to control the work conditions.

Last year a judge in Manhattan blocked the Trump administration rule from taking effect, saying its definition of "employment" was too narrow and DOL didn't sufficiently consider the effects of the rule on workers.

Daniel Wiessner, Wienz Wieschner.

Dan Wiessner (@danwiesson) studies labor and employment, immigration and litigation, among others, and does legal work and policymaking. You can call him at daniel.wiessner@thomsonreuters.com.

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