The IRS business standard mileage rate is optional, not required by the Fair Labor Standards Act (FLSA), when reimbursing delivery drivers, the Department of Labor (DOL) stated in an Aug. 31 opinion letter, one of four recently issued.
“We have seen a surge in delivery of all types in 2020,” said Kathleen Caminiti, an attorney with Fisher Phillips in Murray Hill, N.J., and Hagood Tighe, an attorney with Fisher Phillips in Columbia, S.C. “As a result, this opinion letter has an enormous impact on how companies should reimburse their employees for the use of personal vehicles to make deliveries.”
