U.S. Litigation Caused by Novel Coronavirus, and Strategies for Japanese Businesses

The independent contractor test under the Fair Labor Standards Act (FLSA), which determines whether an individual is classified as an employee or an independent contractor, has started to resemble a ping-pong match — over the last five years the test has changed three times — leaving employers uncertain whether they may face steep penalties for employee misclassification.

On January 14, 2026, President Trump issued a proclamation following an investigation by the U.S. Secretary of Commerce (Secretary), under Section 232 of the Trade Expansion Act of 1962 (19 U.S.C. 1862) (Section 232), into the effects of imports of processed critical minerals and their derivative products (Critical Minerals) on the national security of the United States.