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Misclassification
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As the independent workforce continues to grow, so do the issues of worker compliance and misclassification. It is important for enterprises to remain informed about the latest laws, regulations, and developments surrounding these topics. Each month, we’ll bring you the latest news stories from around the web. 1. New Jersey Supreme Court Says forming an…
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Because there is risk associated with hiring independent contractors, preparation is key. Often, misclassification can be unintentional because businesses simply do not have a full understanding of the laws regarding how to classify their workers. However, it can also be done intentionally to reduce labor costs or avoid payroll taxes. Regardless of why misclassification occurs, it…
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When engaging independent workers, enterprises have options when considering their level of compliance ranging from light compliance which is open to risk to enterprise-grade or enterprise-appropriate compliance. On-demand talent bring a competitive advantage, reduced cost, and unique skills to the market. Independent professionals are an economic force that is continuing to grow and thrive, and…
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As the independent workforce continues to grow, so do the issues of worker compliance and misclassification. It is important for enterprises to remain informed about the latest laws, regulations, and developments surrounding these topics. Each month, we’ll bring you the latest news stories from around the web. 1. Class Action Lawsuits Alleging Misclassification of Independent…
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The methods that federal and state agencies use to determine whether a worker is an independent contractor vs an employee are quite complex. In the 2013 case of Schwann et. al. v. FedEx, under Massachusetts law, FedEx had virtually no chance of proving that the drivers were not employees. How does the federal government determine…
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As the independent workforce continues to grow, so do the issues of worker compliance and misclassification. It is important for enterprises to remain informed about the latest laws, regulations, and developments surrounding these topics. Each month, we’ll bring you the latest news stories from around the web. 1. United States Supreme Court says Arbitration Agreements…
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Engaging an independent contractor is different than hiring an employee because different laws apply to each category of worker. If your organization engages independent contractors, it is important to consider how your company will comply with relevant laws, policies, and regulations. For example, while companies have the ability to schedule employees and control how they…
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Updating policies and practices to compliantly engage independent contractors is a major shift many large organizations are going through. Worker misclassification is a serious issue—if a company classifies a worker as an independent contractor when they should really be classified as an employee in the eyes of the law, they are liable for fines, penalties,…
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Worker misclassification is a complex topic. It does not always have a straightforward solution. Often, misclassification can be unintentional because businesses simply do not have a full understanding of the laws regarding how to classify their workers. However, it can also be done intentionally to reduce labor costs or avoid payroll taxes. Regardless of why…
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The cost of employee misclassification on independent contractors and what organizations can do to minimize risk.
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