March 31, 2026

Rule changes offer greater clarity and flexibility for small businesses

Recent worker classification changes give employers clarity and flexibility to operate their business. The NFIB Small Business Legal Center’s recent blog covers these classification changes, including a Joint-Employer Standard announced by the National Labor Relations Board (NLRB) and a new Independent Contractor Rule proposed by the U.S. Department of Labor (DOL).

These changes benefit small businesses and independent contractors by lowering the risk of worker misclassification, giving predictability to employers, and helping reduce financial penalties placed on well-meaning small businesses for misclassifications. The updated worker classification changes are two major steps to reinstate clear, pro-small business policies.

National Labor Relations Board’s Joint Employer Standard

The new standard revises the definition of a joint employer, only including employers who exercise direct or immediate control over employee wages, benefits, hours of work, and other essential terms and conditions of employment of a shared business.

Department of Labor’s Independent Contractor Rule

If finalized, this rule would refocus the independent contractor test that determines whether or not a worker is economically dependent on an employer. The current rule restricts small businesses’ access to independent contractors, which NFIB strongly opposed.

The Small Business Legal Center’s blog provides more information on these new rules and how they affect small business. Learn more about the work the Legal Center does on behalf of small businesses and the many resources available, including legal guides, blogs, and monthly updates.