Trump’s New Labor Pick: What Employers Should Watch

The Trump administration has nominated Acting Secretary of Labor Keith Sonderling to serve as the next U.S. Secretary of Labor, subject to Senate confirmation. While the nomination itself has attracted significant attention, employers should focus on a more important question: What does this appointment signal about the future direction of U.S. labor enforcement?  

Although no new regulations have been announced, Sonderling’s leadership history and the Department of Labor’s current policy agenda provide valuable insight into where workplace compliance may be headed. From wage-and-hour compliance and worker classification to artificial intelligence in the workplace and employment-related immigration enforcement, employers should closely monitor several key developments.

If you or your company would like to assess whether your employment policies align with evolving U.S. labor law requirements, the ILS employment law team is here to help. Contact us at contact@consultils.com to discuss your workplace compliance strategy.

Signal 1: A Continued Focus on Employer Compliance

Keith Sonderling brings a unique combination of private-sector employment law experience and senior government leadership. Before becoming Acting Secretary of Labor, he served as Deputy Secretary of Labor, Commissioner and Vice Chair of the Equal Employment Opportunity Commission (EEOC), and held leadership positions within the Wage and Hour Division. Prior to entering government, he represented employers in labor and employment matters in private practice.  

During his tenure at the Department of Labor, Sonderling played a key role in relaunching the Payroll Audit Independent Determination (PAID) Program and expanding the agency’s Opinion Letter program. These initiatives reflect an enforcement philosophy that places greater emphasis on helping employers understand and comply with the law before disputes arise, rather than relying solely on post-violation enforcement.  

This does not suggest that enforcement efforts will become less aggressive. Instead, employers may see continued efforts by the DOL to provide greater regulatory clarity while expecting businesses to proactively strengthen their internal compliance programs.

For employers, this means workplace compliance should be viewed as an ongoing business function—not simply a response to litigation or government investigations.

Signal 2: Worker Classification Will Remain a Key Compliance Issue

Worker classification continues to be one of the most significant labor law issues facing employers.

The Department of Labor is currently advancing rulemaking involving joint employer liability and independent contractor classification under the Fair Labor Standards Act (FLSA). If finalized, these rules could significantly affect how businesses structure relationships with staffing agencies, contractors, franchisees, and other contingent workers.  

For companies relying on flexible workforce models, worker classification is no longer just an HR issue—it directly impacts wage-and-hour liability, employee benefits, payroll obligations, and litigation exposure.

Rather than waiting for final regulations, employers should proactively evaluate whether their current workforce structure aligns with evolving enforcement trends and establish periodic reviews of worker classification decisions.

Signal 3: AI Compliance Is Becoming a Workplace Issue

Artificial intelligence is rapidly changing how employers recruit, evaluate, and manage employees.

Sonderling has long been involved in discussions surrounding AI and employment law, particularly during his time at the EEOC, where he focused on the legal implications of algorithmic decision-making and emerging workplace technologies. The Department of Labor is expected to continue expanding its work in this area.  

As AI becomes more integrated into hiring, performance management, and other employment decisions, compliance considerations extend well beyond technology itself.

Employers should consider whether they have appropriate governance over AI tools, including human oversight, documentation of decision-making processes, and procedures to identify potential discrimination or bias.

Developing an internal AI governance framework today may significantly reduce legal risk as regulatory expectations continue to evolve.

Signal 4: Employment and Immigration Compliance Are Becoming More Connected

The nomination also suggests continued attention to employment-related immigration enforcement.

According to current policy priorities, the Department of Labor is expected to remain actively involved in areas where employment law and immigration compliance intersect. Companies employing foreign nationals or operating internationally should expect continued scrutiny of workplace compliance in connection with immigration-related requirements.  

For multinational employers, this means labor compliance and immigration compliance should no longer be viewed as separate functions. Hiring practices, work authorization procedures, wage compliance, and employment documentation increasingly form part of a broader compliance framework.

What Employers Should Do Now

Although Keith Sonderling’s nomination still requires Senate confirmation, employers do not need to wait for new regulations before evaluating their compliance programs.

Based on the Department of Labor’s current priorities, employers should consider:

• Reviewing worker classification policies and independent contractor arrangements;

• Evaluating wage-and-hour practices, including employee classification and timekeeping procedures;

• Establishing internal governance for the use of AI in employment decisions;

• Reviewing employment authorization and immigration compliance procedures; and

• Monitoring future DOL regulations, opinion letters, and enforcement guidance.

Taking proactive steps now can help businesses reduce legal risk while remaining prepared for future regulatory developments.

Conclusion

Keith Sonderling’s nomination is still pending Senate confirmation, and the Department of Labor’s regulatory agenda will continue to evolve.  

Nevertheless, the nomination provides a meaningful indication of where federal labor policy may be heading. Employer compliance, worker classification, AI governance, and employment-related immigration enforcement are likely to remain central themes in the Department of Labor’s priorities.

For employers, the most important takeaway is not simply who leads the Department of Labor, but how evolving enforcement priorities may affect day-to-day business operations. Organizations that continuously review and strengthen their employment compliance programs will be better positioned to adapt to future regulatory changes and minimize legal risk.

If you or your company would like to assess whether your employment policies align with evolving U.S. labor law requirements, the ILS employment law team is here to help. Contact us at contact@consultils.com to discuss your workplace compliance strategy.

Disclaimer: The materials provided on this website are for general informational purposes only and do not, and are not intended to, constitute legal advice. You should not act or refrain from acting based on any information provided here. Please consult with your own legal counsel regarding your specific situation and legal questions.

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As Managing Partner at ILS, Richard Liu ranks among the leading U.S. attorneys in corporate, employment, and regulatory law. He is known for crafting legal strategies aligned with clients’ business objectives and advising Fortune 500 companies, startups, and executives on corporate transactions, financing, privacy, and employment matters across the technology, healthcare, and financial sectors.

Before founding ILS, Richard practiced at top defense firms, where he developed a reputation for anticipating risks and designing strategies that balance protection with growth. He has secured favorable outcomes in contract and intellectual property disputes, represented clients in state and federal courts, and is recognized for combining large-firm expertise with boutique-firm agility. Richard is also a frequent speaker at industry and legal conferences.

Email: contact@consultils.com | Phone: 626-344-8949