Statement on DOL’s Appeal of District Court Ruling on Independent Contractor Rule

Today, the Financial Services Institute (FSI) released the following statement in response to the U.S. Department of Labor’s (DOL) announcement of its decision to appeal the Eastern District Court of Texas’ ruling that invalidated the DOL’s withdrawal of its independent contractor rule:

“We are disappointed in the DOL’s decision to appeal the District Court ruling,” said FSI President & CEO Dale Brown. “The DOL’s independent contractor rule provides much-needed certainty to independent financial advisors who have chosen to be independent contractors so that they can operate their own business and better serve their clients within their communities. We plan to continue working to defend our members’ independent contractor status through the appeal process.”

FSI joined the Associated Builders and Contractors, Inc. (ABC); the Associated Builders and Contractors of Southeast Texas (ABCSETX); and the Coalition for Workforce Innovation (CWI) in May 2021 in challenging DOL’s withdrawal of its independent contractor rule. In March, the U.S. District Court ruled that the rule’s delay and withdrawal violated the Administrative Procedures Act.