The Monetary Companies Institute and its coalition companions filed an amended criticism Tuesday in opposition to the Labor Division’s new impartial contrator rule, which asks the courtroom to declare the 2024 rule invalid, prohibit its implementation and permits the 2021 impartial contractor rule to stay in impact.
FSI filed the amended criticism within the U.S. District Court docket for the Jap District of Texas together with the Related Builders and Contractors, the American Trucking Affiliation, the Coalition for Workforce Innovation, the Nationwide Retail Federation, the Nationwide Federation of Impartial Enterprise and the U.S. Chamber of Commerce.
The criticism states that the 2024 rule, which Labor finalized on Jan. 9, is bigoted and capricious underneath the Administrative Process Act and likewise violates the Regulatory Flexibility Act.
An FSI spokesperson advised ThinkAdvisor Tuesday in an e mail that the amended criticism replaces the earlier criticism filed on Jan. 16, which challenged DOL’s withdrawal of the 2021 impartial contractor rule.
The brand new amended criticism, the spokesperson stated, displays “our considerations with the ultimate DOL rule” and provides new plaintiffs.
The division, in line with the amended go well with, ”has issued a brand new rule that largely repeats the Division’s earlier errors and fails to treatment the confusion addressed by the 2021 Impartial Contractor Rule.”
The 2024 rule “repeals the 2021 Impartial Contractor Rule at the moment in impact and substitutes an amorphous, obscure, and unworkable normal for figuring out worker or impartial contractor standing” underneath the Honest Labor Requirements Act, or FLSA, the go well with states.