The U.S. Department of Labor (DOL) has issued a significant 2026 proposed rule regarding Independent Contractor classification under the Fair Labor Standards Act (FLSA). This proposal rescinds the 2024 rule and reintroduces a revised economic reality framework that may substantially impact how businesses classify workers as employees or independent contractors. 

HR leaders cannot confidently classify workers as employees or independent contractors because the federal standard keeps changing — and misclassification carries severe financial and legal consequences. 

This webinar provides a comprehensive breakdown of the 2026 proposal, key differences from prior rules, compliance risks, and practical steps organizations should take to mitigate worker misclassification exposure

Learning Objectives:

  • What just recently announced (02-26-2026), new (or old) criteria is the DOL now using to determine worker status
  • What exactly is the economic reality test under the DOL
  • What classifications of workers are permitted under IRS Rules
  • What is the common law rule, and how is it used to determine worker status
  • What are the three factors the IRS uses to determine worker status, and how to apply them correctly
  • How the FLSA rules differ from the IRS rules and why you must follow both, even as the FLSA regs are being updated in 2026
  • How does the state trump both the IRS and the FLSA on determining independent contractor status with the ABC test for SUI
  • What are the latest agreements or programs being used by the IRS, DOL, and the states to “find” misclassified employees
  • Using the Form SS-8 to your advantage to determine worker status
  • ·Who gets a W-2 and who gets a 1099, and why it should never be the same worker

Major Topics:

  • Independent Contractors vs. Employees: Why Classification Matters
  • Overview of the 2026 rule change and six-factor test
  • How this differs from previous DOL classification standards
  • Key risks and compliance exposures for employers
  • How to review current contractor roles and classifications
  • Policy, contract, and onboarding updates needed
  • Preparing for audits and investigations
  • Cross-state classification challenges
  • Documentation strategies to support defensibility

Who Will Benefit:

  • HR and Compliance Professionals
  • In-house Legal and Payroll Teams
  • Business Owners and Senior Leadership
  • Operations Managers overseeing Freelance or Contract Workforces
  • Anyone Responsible for workforce structure or Classification Compliance

HRCI Credits | SHRM Credits

  • HRCI : 1.5 | SHRM : 1.5
  • HRCI Credits: 1.5
  • SHRM Credits: 1.5

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HR Certification Institute’s® (https://www.hrci.org) official seal confirms that Pioneer Educator meets the criteria for pre-approved recertification credit(s) for any of HRCI’s eight credentials, including SPHR® and PHR®.

This Program, has been approved for 1.5  HR (General) recertification credit hours toward aPHR®, aPHRi™, PHR®, PHRca®, SPHR®, GPHR®, PHRi™ and SPHRi™recertification through HR Certification Institute® (HRCI®).

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PRESENTER(s): Mark Schwartz
EVENT DATE - 2026-01-08