The U.S. Department of Labor has recently shared insights into the key actions being taken by the department to ensure safety and health in the workplace while reducing unnecessary burdens on employers and employees.
New regulations are important to ensure that Americans have a safe and healthful working environment, especially in hazardous working environments such as indoor and outdoor settings where workers may be exposed to extreme heat. While there is a clear need for further regulations in some areas to ensure that employers adequately protect their workers, some existing regulations are placing unnecessary burdens on employers with little benefit provided to employees.
The announcement follows the Trump Administration’s semiannual Unified Agenda of Regulatory and Deregulatory Actions, which details the actions currently being taken or under consideration. For the Department of Labor, that includes more than 100 areas of rulemaking, including new rules and rule changes that will ensure that U.S. workers are properly protected, while supporting business growth and advancing the Trump Administration’s goal of putting American workers and businesses first.
“Eliminating red tape and crafting smart regulations that spur job creation will bring us even closer to reaching the Golden Age of the American Worker,” said U.S. Secretary of Labor Lori Chavez-DeRemer. “The Department of Labor is committed to helping President Trump and the entire Administration implement this bold regulatory agenda, which focuses on flexibility, transparency, and common-sense reform to ensure every hardworking family has a fair shot at achieving the American Dream.”
On April 15, 2025, President Trump signed an executive order – Lowering Drug Prices by Once Again Putting Americans First – that seeks to reduce the prices Americans pay for prescription drugs. One aspect of that executive order concerns pharmacy benefit managers (PMBs) – the prescription drug middlemen that negotiate prices with drug companies.
Under the Biden Administration, the Federal Trade Commission (FTC) launched an inquiry into PMBs in June 2022. The interim report, published by the FTC in July 2024, found that PMBs may be contributing to higher out-of-pocket costs for patients. The FTC has recently filed a lawsuit against three major PMBs alleging they are enriching themselves by manipulating the drug supply chain. The Department of Labor has confirmed it is looking at ways to improve transparency around the direct and indirect compensation PMBs receive from employer-sponsored health plans and is looking at ways to improve market transparency in pricing and cost-sharing information for consumers.
An area where further regulation may be required concerns heat illness and injury prevention in indoor and outdoor work settings. The Occupational Safety and Health Administration (OSHA) has been considering implementing a heat safety standard for some time, and in July 2024, OSHA proposed a new rule that would apply to all employers and would be triggered when employees are exposed to temperatures of 80º F for more than fifteen minutes in any given sixty-minute period. This was an area where OSHA was expected to row back on further regulation. Public hearings on the proposed rule took place over the summer, and OSHA has confirmed that it is “continuing to examine how to establish standards specifically related to heat-related injury and illness prevention.”
Since 2021, the Department of Labor has had no regulatory guidance addressing joint employer liability under the Fair Labor Standards Act (FLSA). A rule was proposed to address this in 2020, although it was blocked by a court decision. The department is continuing to look at the circumstances under which businesses can be held liable as a joint employer. Also under the FLSA, the Department of Labor is looking at the circumstances under which a worker should be classified as an employee or independent contractor for the purpose of federal wage and hour requirements, and will be defining and delimiting exemptions for executive, administrative, professional, outside sales, and computer employees, including whether salaried employees are exempt from FLSA minimum wage and overtime requirements.
Under the H-2A program, employers in the agricultural industry are permitted to hire foreign workers for temporary or seasonal jobs when domestic workers are unavailable. Under the Biden administration, a final rule was issued in June 2024 to improve protections for these workers; however, the rule was suspended in June 2025. The Department of Labor has proposed to rescind some of the burdensome requirements for growers using the program for agricultural labor. The Department of Labor is also considering updates to the Adverse Effect Wage Rate Methodology for calculating the prevailing wage for H-2A workers, which has been criticized for exceeding the actual local market wages.
“This regulatory agenda reflects our steadfast commitment to restoring economic opportunity by fostering innovation and reducing unnecessary burdens on employers,” said Deputy Secretary of Labor Keith Sonderling. “By modernizing outdated rules and prioritizing clarity and efficiency, we’re building a more agile, worker-centered labor policy framework that fuels economic growth and prosperity. Under President Trump’s leadership, the Department of Labor is delivering the regulatory certainty that American workers and businesses need to thrive.”
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