Fifth Circuit Grants Department of Labor (DOL) Motion to Stay Oral Argument in Case Reviewing Independent Contractor Rule

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On 1/29/25, the Fifth Circuit Court of Appeals granted a motion by the U.S. Department of Justice (DOJ) to pause proceedings in a legal challenge brought by trucking companies, to give incoming leadership at the U.S. Department of Labor (DOL) a chance to review the case. The appellate court granted the motion, tabling oral argument which had been scheduled for Feb. 5, 2025. The case involves the 2024 independent contractor rule, which revised the DOL standard for determining whether a worker is an employee or independent contractor under the Fair Labor Standards Act (FLSA). The 2024 independent contractor rule adopted the six (6) factor “economic realities” test to determine whether a worker is an employee or independent contractor. The 2024 rule formally rescinded a 2021 independent contractor rule issued during the Trump Administration:

Frisard’s Transp., LLC v. United States DOL, No. 24-30223, Jan. 24, 2025

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