Federal Corner
The Federal Corner is an initiative of the Florida Chamber under the Small Business Council and the Litigation & Regulatory Reform Center that tracks and engages in federal rules out of Washington, D.C., that may be problematic for Florida businesses.
The Federal Corner is intended to provide details of what is happening in Washington, D.C., that may impact your business. It’s important that if these federal provisions apply or potentially apply that you are aware so you can take advantage or take the proper steps accordingly.
On March 20, 2026, President Donald Trump unveiled a national AI legislative framework to help guide proposed legislation regarding AI. The framework includes giving parents the best tools to manage their children’s digital upbringing, ensuring AI development helps small businesses and American communities economically grow, preventing a shifting of costs on Americans to build data centers, protecting intellectual property rights and free speech allowing for AI’s use in more industry sectors, and developing an AI-ready workforce in the United States. The stated goal of this framework is to improve national security and economic competitiveness by winning the AI race. This framework also serves as a guide for uniformity across the United States that states can use when considering legislation in the AI space. The plan is to have this framework turned into legislation at the federal level that will be sent to the President.
If you would like to engage in our federal legislative or regulatory advocacy efforts, please contact Florida Chamber Vice President of Government Affairs, Carolyn Johnson, at cjohnson@flchamber.com.
The National Labor Relations Board Issues New Joint Employer Standard (Final Rule Published, In Effect)
The National Labor Relations Board (NLRB) has voted to reinstate a 2020 rule that decides when a company is viewed as a “joint employer” under federal labor law. This change in standard comes after a federal court vacated the Biden administration’s definition of joint employer two years ago. The rule from 2020 required a company to exercise “substantial direct and immediate” control over another firm’s workers to be classified as a joint employer. For employers who work with contractors, the reinstatement of the rule reduces the risk that the NLRB can find joint employer status based only on indirect control. Employers should still go over the contract’s day to day practices. The rule places greater weight on how an entity operates rather than how relationships are described in contracts, making clear that even well‑drafted agreements will not protect businesses that exercise substantial, direct, and immediate control in practice.
Department of Labor Minimum Wage Rate Changes Regarding Federal Contractors
On February 9th, the United States Department of Labor (DOL) noticed a new set of minimum wage rates for federal contractors covered by Executive Order 13658 [CJ7.1][JG7.2]to $13.65 an hour and increased the minimum wage that must be paid to tipped workers with covered contracts to $9.55 an hour. This comes after the Trump administration in 2025 revoked President Biden’s Executive Order 14026, which raised the minimum wage for federal contractors to $15. Executive Order 13658 primarily applies to contractors whose contracts are in connection with the Davis-Bacon Act and the Service Contract Act and were entered into or renewed, or extended between January 1, 2015, and January 29, 2022. This much needed clarity will help business owners navigate the previous ambiguity after the previous administration’s Executive Order was revoked.
“No Tax on Tips” (Final Rule Published, In Effect)
In September 2025, the U.S. Treasury announced its rule on “No Tax on Tips,” a provision that was passed under the One Big Beautiful Act. In November 2025, the IRS and Treasury issued the final rule to guide employees who received tips and overtime during the 2025 tax year. The final rule includes 68 qualifying tipped occupations and specifies that these tips must be voluntarily paid and in cash or through other payment. Available through 2028, those in eligible occupations can deduct up to $25,000 in tip income on their taxes and the deduction phases out for those that make more than $150,000 ($300,000 for joint filers). The list of occupations includes beverage and food service staff, entertainment, hospitality, transportation and wellness services. The notice provides further detail explaining how these deductions are applied. For further information, click here.
U.S. Department of Labor Independent Contractor Rule (New Rule Released, Comment Period Ends April 28, 2026)
On February 26th, the U.S. Department of Labor (DOL) released a highly-anticipated proposed new rule on the classification of independent contactors, undoing the rule in effect under the Biden Administration. The proposed rule makes it easier for gig companies to classify workers as independent contractors. This will help reduce litigation and clear up the sometimes blurry line between employees and independent contractors. There are two main factors in the new proposed rule: One, the individuals’ control over their work and second, their opportunity for profit or loss. For those workers whose status still isn’t clear based on these two factors, the DOL instructs businesses to determine the amount of skill required for the work, the degree of permanence and whether the work is a part of an integrated unit of production. This new rule should help businesses make clearer decisions on whether someone is an independent contractor or an employee.
It is not surprising that the Trump Administration was looking to change the standard. DOL announced last year that it rescinded the 2024 Independent Contractor rule, citing 5 legal challenges. The U.S. Department of Labor (DOL) had also previously announced that its Wage and Hour Division stopped enforcement of the 2024 independent contractor rule and would instead apply the more business-friendly “longstanding principles” to determine independent contractor classifications, which was the standard under the previous Trump Administration.
Businesses that rely on the independent contractor model can review the new proposed rule here and should consult with a labor attorney before reclassifying any employees.
Occupation Safety and Health Administration Heat Rule (Pending; Florida Chamber Submitted Comments)
In response to the Occupational Safety and Health Administration (OSHA) proposed rule on heat illness and injury in the workplace, the Florida Chamber of Commerce and Florida Chamber Leadership Cabinet submitted formal comments on behalf of Florida businesses. The major concerns include an estimated $10 billion in increased compliance costs annually, the unintended consequences of a blanket one-size fits-all approach as opposed to site-specific, business-led solutions, and the outsized impact on Florida’s key economic sectors.
In 2026, OSHA is expected to proceed with reviewing the docket and received comments regarding the pending heat standard in 2026 but it is unclear still when the final rule will be published in the Federal Register. While the rule was proposed under the Biden Administration, it is still expected that OSHA will issue a scaled back heat safety rule.
Several national business groups have called for the adoption of the Nevada standard, which only requires a written plan. A virtual public hearing was held earlier last year and the deadline for post-hearing comments was October 30, 2025. The Florida Chamber Safety Council will continue to lead on heat safety in the workplace, providing free resources to businesses found on the heat stress prevention platform.
Occupational Safety and Health Administration Union Walk Around Rule (In Effect, Pending Ongoing Litigation)
The Occupational Safety and Health Administration (OSHA) rule allowing workers to select a union representative to accompany OSHA inspectors walking around employers’ workplaces – regardless of whether the workplace is unionized or the representative selected by the workers is an employee of the business being inspected – took effect nearly two years ago on May 31, 2024. The rule changes the previous requirement that the representative accompanying the OSHA inspector must be an employee and could present significant challenges for employers.
The final rule is likely to increase union participation in the inspection process and could potentially be problematic as representatives with unknown motives are now allowed to participate in inspections of employers’ property. The rule also means sensitive information could potentially be shared with union representatives, even in non-union workplaces, which could lead to increased union participation. There have also been concerns raised that representatives may be more focused on finding violations rather than working collaboratively to improve safety.
A coalition of business leaders have filed a lawsuit challenging the OSHA rule. The Trump administration may review this rule and could potentially overturn the rule in the coming years.