Tag: misclassification

Contractors for Storm Clean-up Pose Misclassification Risks

By Khristine Scholtz Nov 1, 2012 HR Management & Compliance

Updated: Nov 1, 2012

Hurricane Sandy’s path of destruction has left many homeowners, municipalities and businesses in need of reconstruction and repairs — and when such weather-related disasters require massive reconstruction efforts, many landscapers and builders hire subcontractors to help. Increased joint employer liability, particularly in those industries that frequently use subcontractors, often goes hand-in-hand with worker misclassification. Employers […]

Top 7 Compensation Articles of 2012 from Compensation Daily Advisor

By HR Daily Advisor Staff May 23, 2012 Benefits and Compensation

Updated: May 23, 2012

Misclassification: DOL and IRS Declare War Misclassification—calling individuals “independent contractors” or “volunteers” who properly should be employees—is a burgeoning legal battleground for employers. A recent 30-million-dollar suit on behalf of newspaper carriers is a good example of the stakes involved, says attorney Christine V. Walters. Unauthorized Overtime–Must Be Paid Even if Forbidden Many employers have […]

Avoiding a Clash Over FLSA Contractor Classifications

By Liza Casabona May 23, 2012 HR Management & Compliance

Updated: May 23, 2012

Before they find themselves under a wage enforcement microscope, employers need to be aware of potential problems and misclassification errors when designating workers as independent contractors instead of standard employees. The U.S. Department of Labor has had the misclassification of workers squarely in its cross hairs for a while. In particular the designation of “independent […]

Wal-Mart, DOL Reach Agreement for $5M+ Settlement Over FLSA Violations

By Liza Casabona May 2, 2012 HR Management & Compliance

Updated: May 2, 2012

Wal-Mart Stores, Inc. will pay almost $5.3 million in penalties, damages and back wages for overtime violations at stores nationwide, the U.S. Department of Labor said on May 1. According to the agency, 4,500 vision center managers (VCMs) and asset protection coordinators (APCs) at Wal-Mart Supercenters, Wal-Mart Discount Stores, Neighborhood Markets and Sam’s Club Warehouses were […]

Legislation Seeks to Curb Employee Misclassification via Fines, Notice Rules

By Holly Jones, Senior Legal Editor Apr 28, 2010 HR Management & Compliance

Updated: Apr 28, 2010

Adding momentum to federal agencies’ ongoing initiatives to crack down on employee misclassification, the U.S. House and Senate have introduced legislation intended to curtail the misclassification of employees as independent contractors. The Employee Misclassification Prevention Act, introduced April 22, would amend the Fair Labor Standards Act (FLSA) to impose additional compliance and record-keeping requirements on […]

Obama Will Bring Change for Employers

By New York Employment Law Letter Jan 23, 2009 HR Hero Line

Updated: Jan 23, 2009

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 […]

Correctly Classifying a Worker as an Independent Contractor

By New York Employment Law Letter Jun 6, 2008 HR Hero Line

Updated: Jun 6, 2008

by Tracey A. Cullen It’s no news flash that companies must proceed with caution when classifying someone who provides them with services as an independent contractor. Independent contractors are paid flat fees without tax deductions or employment taxes. Employees are paid salaries subject to withholding, FICA, FUTA, and other employment taxes and are protected under […]