Hosted by the Labor & Employment Law Committee
It is critical that business owners properly determine whether the individuals providing services for the company are employees or independent contractors. Many employers misclassify some workers as independent contractors. A worker's status is a question of law, determined under the Fair Labor Standards Act and the accompanying regulations of the Department of Labor, and by the Internal Revenue Service.
Misclassifying an employee as an independent contractor can have serious negative consequences for the employer. Employers can face claims for liquidated damages, back pay and attorneys' fees from the DOL, as well as claims for FICA and other payments from the IRS. In recent years both agencies have become more aggressive in enforcing their regulations and holding employers liable for violations. It is not yet clear how the new Administration will pursue these claims.
This CLE will present an overview of the various regulations and case law controlling whether a worker can be classified as an independent contractor, as well as the penalties associated with misclassification.
Hear this examination of independent contractor/employee distinctions to receive guidance regarding how your clients can minimize risk amidst this unpredictable legal environment.