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Workplace regulations remain in limbo under Trump administration

June 2025 federal employment law insider
Authors: 

the editors of FELI

Employers remain uncertain about some of the most fundamental workplace regulations, and the outlook remains unclear as the Trump administration and its agencies strain to organize themselves in the midst of shifting priorities and a mounting number of distracting lawsuits, often regarding unrelated Department of Government Efficiency (DOGE) interventions.

Independent contractor

This segment of the workforce continues to grow at a steady pace. Nearly 8% of workers describe themselves as independent contractors, and most prefer this status. However, federal and state governments continue to struggle to arrive at common definitions for how to classify these workers.

On the federal level, conflicting regulations from different administrations and multiple lawsuits have undermined efforts at reaching stasis. In the last days of the first Trump administration, the first formal regulation setting set forth a standard for determining independent contractor status was issued, supplanting the prior subregulatory guidance. The emphasis of this rule was on the nature and degree of the worker’s control over the work (e.g., the extent to which the worker could set their own schedule, determine how the work was performed, and work for other companies) and the worker’s opportunity for profit or loss.

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