Many businesses are concerned about the independent contractor (IC) regulation issued by the New Jersey Department of Labor and Workforce Development (NJDOL) that is scheduled to go into effect on October 1, 2026 – unless political pressure from certain legislators
Independent Contractor Misclassification & Compliance
The blog "Independent Contractor Misclassification & Compliance," published by Troutman Pepper Locke, focuses on legal developments and compliance issues related to the classification of workers as independent contractors versus employees. It covers class action lawsuits, regulatory changes, and settlements involving industries such as legal services, healthcare, app-based staffing, delivery, and logistics. The blog analyzes court decisions, government enforcement actions, and legislative proposals affecting independent contractor status, including tests like the ABC test. It also discusses strategies for businesses to enhance compliance and reduce litigation risks through structured processes and documentation.
Latest from Independent Contractor Misclassification & Compliance
Negligent Hiring Doctrine Can Also Apply to Independent Contractors: August 2026 IC Compliance Legal News Update
Last month, one of the key legal developments involving independent contractors (ICs) was a decision by the highest court in Massachusetts involving a legal doctrine being used more frequently than ever against businesses that engage ICs: negligent hiring. Many companies…
We Have Moved, But the Blog Continues!
Sixteen years ago, we began this legal blog – the first one that focused on independent contractor compliance and misclassification law. Today, 380 blog posts and well over half a million views later, it remains the only legal blog exclusively dedicated…
Artificial Intelligence Firms Continue To Be Targeted for Independent Contractor Misclassification Claims: May 2026 IC Legal News Update
In 2025, we published blog posts about two class action lawsuits by workers alleging independent contractor (IC) misclassification by two artificial intelligence (AI) companies. The first blog post involved an IC misclassification case brought against Scale AI by so-called “taskers,”…
Do Businesses Need to Reset Their Independent Contractor Relationships After New Decision Involving ‘Streamers’?
Businesses using independent contractors (ICs) that reside in any state that has a so-called ABC test to determine a worker’s IC status, including all companies that operate with ICs on a nationwide basis, may be asking themselves if they need…
US Supreme Court’s ‘Unfavorable’ Independent Contractor Decision May Be ‘Favorable’ After All for Limiting Scope of Arbitration Exemption Under the FAA
On its face, the unanimous decision issued today by the U.S. Supreme Court on the scope of the interstate transportation exemption from arbitration under the Federal Arbitration Act (FAA) may seem like an unfavorable outcome for manufacturers using distributors to…
Security, Home Improvement, Black Car, and Home Health Industries Remain Targets for Independent Contractor Misclassification Claims: April 2026 IC Legal News Update
We report below on several judicial and administrative proceedings involving independent contractor (IC) misclassification and compliance, including new class action lawsuits against a home improvement company and a security company, a jury verdict against a black car company, and a…
New Jersey Labor Department Issues Final Regulations on Independent Contractor Status
Yesterday, May 5, 2026, the New Jersey Department of Labor and Industry (the Department) announced in a press release that it was issuing its final regulation on June 1, 2026, addressing the so-called ABC test for independent contractor (IC) status…
Over 15,000 Comments Already Filed by the Public on the New Proposed Independent Contractor Rule, Which Needs Clarification in Key Respects
On February 26, 2026, the day the Department of Labor (DOL) released its new proposed rule on independent contractor (IC) status under the Fair Labor Standards Act (FLSA), we wrote a blog post on the rule, commenting that “the new…
New Industries Subjected to Lawsuits Alleging Independent Contractor Misclassification: March 2026 IC Legal News Update
Last month’s legal developments in the area of independent contractor (IC) misclassification and compliance reflect the ever-widening variety of businesses that are subject to legal challenges by plaintiffs’ class action lawyers and government agencies. While lawsuits against app-based companies in…