Tag: Independent Contractors

Employers Facing Increased Scrutiny over Worker Classification

by Robert C. Nagle Employers can expect increased enforcement efforts from federal and state labor and tax authorities over what’s believed to be a rising tide of misclassification of employees as “independent contractors.” There can be significant payroll savings associated with classifying workers as contractors. For example, employers typically aren’t required to withhold or pay […]

OFCCP Reveals Glimpses of Enforcement Plans Targeting Federal Contractors

Early Tuesday morning, the U.S. Department of Labor (DOL) resumed its ongoing series of agency Web chats with a brief session hosted by Patricia Shiu, the director of the Office of Federal Contract Compliance Programs (OFCCP). The OFCCP enforces the civil rights of both federal contractor employees as well as applicants for federal contractor jobs. […]

When Must Individual Contractors Receive Reasonable Notice?

By Donna Gallant A recent appeal court decision demonstrates once again that defining work relationships is far from an exact science. Somewhere on the spectrum between employees and independent contractors, we have seen the emergence of “dependent contractors.” What hasn’t been entirely clear is how one determines “dependent contractor” status.  Nor what that status means […]

Tips for Minimizing Risk When Cutting Labor Costs

by Mark Wiletsky Although we’re beginning to see signs of an economic recovery, many organizations are still grappling with how to stay competitive in this challenging environment. Layoffs, furloughs, and other methods used to cut personnel costs are often part of the equation. But the savings gained by those cost-cutting measures can be lost if […]

Obama Will Bring Change for Employers

Now that President Barack Obama has been sworn into office many expect to see more new workplace regulations in the upcoming months than at any time in the last two decades. This article discusses of some of the proposed legislation that could affect employers in the areas of civil rights (the Civil Rights Act of […]

Risks, Benefits of Using Contingent Workers

by Craig Borowski Many employers use contingent workers: independent contractors, leased employees, consultants, and temporary employees. While using an alternative workforce has benefits, it can create legal and practical risks as well. If you use or are considering using contingent workers, here are some benefits and risks to weigh. Audio Conference: Independent Contractor Myths: New […]

Independent Contractor Agreement

Independent Contractors: A Sample Agreement A written independent contractor agreement can be essential to document the mutual understanding between you and the contractor that the person is not an employee. Below is a sample general agreement that you can use. A word of caution: Before using the form, be sure to consult with your lawyer […]

Independent Contractors: Maid Company to Pay Big for Misclassification

A federal judge has ordered Southern California Maid Services and Carpet Cleaning, based in Gardena, to pay $3,467,789 in back wages, plus $1,058,973 in liquidated damages, to 385 current and former low-wage domestic workers who were misclassified as independent contractors. The court’s action resolves a lawsuit filed against the employer by the U.S. Department of […]

Pending Legislation: Bill Would Impose Big Penalties for Misclassifying Employees as Independent Contractors

A bill pending in the state legislature would crack down on employers that intentionally misclassify employees as independent contractors in order to avoid unemployment insurance responsibilities. The measure, A.B. 2186, authorizes the Employment Development Department to assess a penalty of $25,000 against any employer who willfully, purposefully, or intentionally misclassifies an employee as an independent […]