Misclassification of Employees as Independent Contractors
A common way for employers to try to get around paying workers minimum wage, overtime, and workplace benefits is by misclassifying them as independent contractors. A study done by The Department of Labor in 2000 found that up to 30% of employees in 9 investigated states had been purposely misclassified as independent contractors by their employers.
Employees who are misclassified as independent contractors no only lack control over their work, they are also denied legal protection given to workers. If you believe that you have been misclassified as an independent contractor by an employer, contact the wage theft lawyers of Tycko & Zavareei, LLP by calling 202-973-0900 today.
Harm Caused by Misclassifying Workers
Employees have certain rights that independent contractors do not. When an employee lists a worker as an independent contractor, that employee can be denied:
- Unemployment insurance
- Overtime pay
- Protection from anti-discrimination laws
- Minimum wage
- Worker’s compensation
This practice does not only hurt employees but tax payers as well. It was found in 2004 that this practice cost the federal government as much as $34.7 billion in taxes between 1996 and 2004. The practice of misclassifying employees as independent contractors is a sneaky and atrocious way for employers to save money and deny employees their right under the Fair Labor and Standard’s Act.
Contact Us
If you believe that you have been misclassified as an independent contractor by an employer, contact the wage theft lawyers of Tycko & Zavareei, LLP by calling 202-973-0900 today.
