Employco Blog

On May 1, 2025, the U.S. Department of Labor (DOL) issued Field Assistance Bulletin (FAB) 2025-1 on how to determine employee or independent contractor status when enforcing the Fair Labor Standards Act (FLSA).

Background – On Jan. 10, 2024, the DOL published a final rule revising the agency’s guidance on analyzing who is an employee or independent contractor under the FLSA. This rule rescinded the 2021 Independent Contractor Rule. Several lawsuits are pending in federal courts challenging the 2024 final rule. In those lawsuits, the DOL has taken the position that it is reconsidering the final rule, including whether to rescind it. Additionally, the DOL’s Wage and Hour Division (WHD) is currently developing a standard for determining employee versus independent contractor status under the FLSA.

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There is currently no federal law that requires employers to disclose salary information to job applicants or employees. However, a growing number of states have enacted legislation that requires employers to disclose wage or other compensation information to applicants or employees under pay transparency laws. Colorado’s pay transparency law, which took effect in 2021, was the first such law. Since then, the District of Columbia and 14 additional states (including California, Illinois, and New York) have passed pay transparency laws.

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At Employco, we continually release new employee-facing content in the form of newsletters and articles that our clients can use as they feel appropriate. Oftentimes, the information is geared towards health and wellness. The documents are produced in a way to make it easy for our clients to distribute to their employees. We also can add your company’s logo to the document prior to sending it to you.

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Small businesses often face an uphill battle when it comes to retaining employees. Limited budgets, lean teams, and fewer advancement opportunities can make it difficult to compete with larger companies. However, better engagement is one of the most cost-effective and impactful ways to improve employee retention. When employees feel heard, valued, and connected to their work, they’re more likely to stay.

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Missouri Sample Paid Sick Leave Notice and Poster Are Available – The Missouri Department of Labor and Industrial Relations has posted a sample employee notice and workplace poster for the state’s earned paid sick time (EPST) law, currently scheduled to take effect May 1, 2025. Employers must provide notice to workers of their rights under the law by April 15, 2025.

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Employers obtain employees’ medical information for various reasons, such as verifying a reasonable accommodation request, certifying leave, or confirming eligibility for disability benefits. At the federal level, there are several laws restricting when employers can ask for employees’ medical information and requiring employers to keep such information confidential. These laws include the Americans with Disabilities Act (ADA), the Family and Medical Leave Act (FMLA), the Genetic Information Nondiscrimination Act of 2008 (GINA), and the Health Insurance Portability and Accountability Act (HIPAA).

The ADA is the main federal law that protects employees’ medical information in the workplace. The ADA limits when covered employers can request employees’ medical information (or require medical examinations) and broadly requires all employee medical information to be kept confidential, regardless of why the information was provided. To comply with the ADA, employees’ medical information should be maintained separately from personnel files and only accessible to authorized individuals.

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On March 19, 2025, the U.S. Equal Employment Opportunity Commission (EEOC) and the U.S. Department of Justice (DOJ) issued joint guidance on illegal and discriminatory diversity, equity, and inclusion (DEI) practices. The EEOC also issued frequently asked questions (FAQs) regarding DEI-related discrimination. The guidance provides some clarity as to the agencies’ position on what may constitute illegal DEI and offers steps employees may take to report violations.

Background – On Jan. 20, 2025, and Jan. 21, 2025, President Donald Trump issued executive orders (EOs) 14151 and 14173, respectively, which seek to terminate all illegal DEI mandates, policies, programs, preferences, and activities. However, neither EO defines what practices or programs may constitute illegal DEI. The EEOC and DOJ guidance provides some clarity as to the agencies’ positions on illegal DEI.

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