The Department of Labor's Wage and Hour Division released a proposed rule on April 22 determining when multiple employers may be held jointly liable for wage violations. The rule affects HR professionals managing staffing agencies, contractors, and temporary workforce arrangements.
Single source — verify before acting. Joint liability rules directly change how HR structures vendor relationships with staffing firms and determines internal oversight requirements for contractor wages.
Employment counsel and workforce planning teams should review current staffing agency contracts and temporary worker arrangements. Audit existing contractor relationships for potential joint employer exposure before the comment period closes.