Misclassification is the practice of incorrectly labeling workers as independent contractors rather than employees. Because independent contractors are by definition are self-employed, their employers often escape many of their responsibilities under employment, labor, and related tax laws and deprive workers of the protections of those laws. In recent years, the US DOL has been combating Read more
Some employers and their workers might find it surprising to learn that in most states unpaid interns, unpaid trainees and volunteers are not covered by state harassment and employment discrimination laws. This exclusion is slowly changing. Protected Status California recently became the fourth state to pass a law (CA AB 1443) that protects unpaid interns, Read more
Employers are increasingly using sub-contractors, temporary staffing, leased employees and independent contractors to supplement or, sometimes, replace their regular workforce. This workforce is especially attractive in California where labor costs run high. Until now, using a “labor contractor” to supply California workers for a “client employer” usually protected such employers from liability for the payment Read more
Office of Federal Contract Compliance Programs (OFCCP) has posted guidance for federal contractors to determine which workers are “employees” and which are “independent contractors”, or other non-employee workers. Workers that are “employees” must be included in the contractor’s Affirmative Action Programs (AAP) under Executive Order 11246 (race, color, religion, sex, or national origin), Section 503 Read more
Twice a year, the federal Department of Labor (DOL) releases its regulatory agenda indicating its rulemaking and enforcement priorities for the coming one-year period. This spring, the DOL announced that it will pay particular attention to Wage and Hour Division regulations. The proposed rulemaking activity will impact employers across all industries. Among the proposed changes, Read more
Many small businesses rely on independent contractors for their staffing needs, but doing so raises special concerns. Independent contractors, by definition, are self-employed and because they are not employees, independent contractors are not covered by employment, labor, and related tax laws. There are many benefits to hiring independent contractors such as savings in labor costs, Read more
Louisiana Employment Security Law was recently amended to require EVERY employer to post a state-mandated notice regarding misclassification of employees as independent contractors. The new “Independent Contractor or Employee?” posting advises all employees, employers, independent contractors and subcontractors of: Factors that describe independent contractors, Rights regarding unemployment and workers’ compensation benefits, Employee protections from retaliation, Read more
