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Employer Resource Institute
Home | Independent Contractors
 

Independent Contractors

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Wage and Hour: Feds Focusing on Independent Contractor Misclassifications
March 2010
Representatives of the federal government have noted on several recent occasions that employees who are misclassified as independent contractors don't receive protections and benefits to which they are legally entitled. Misclassification also affects the government's bottom line&$8212employers may fail to pay taxes they would be required to pay if a worker was classified as an employee. Now the federal government is poised to confront the problem of misclassification. . . . more
Independent Contractors: Employer's Effort to Save Payroll Dollars Backfires; Watch Out for Misclassification
October 2009
Under the pressure of a prolonged recession, employers everywhere are looking for ways to cut labor costs--and although it's not a bad idea to seek the assistance of professional business consultants, one California employer's experience is a reminder that if a fix looks too good to be true, it probably is . . . more
Compensation: 10 Possible Pitfalls to Avoid When Using Independent Contractors and Leased Employees
June 2009
Now more than ever, employers are turning to independent contractors and temporary leased employees to fill in their workforce gaps. While using independent contractors and temps can help you maintain a lean labor budget--especially in this tough economy--making mistakes with these types of workers can cause serious legal headaches. Here are 10 possible pitfalls to watch out for: . . . more
News Note: FedEx Settles Independent Contractor Suit for $26.8 Million
February 2009
FedEx Corp. has agreed to shell out a whopping $26.8 million to end a long-running dispute over whether California delivery drivers in the company's ground unit are independent contractors or employees . . . more
Independent Contractors: 'At-Will' Termination Provision Didn't Doom Contractor Status
December 2008
Project management firm Gateway Science and Engineering, Inc. hired Al Varisco, a construction inspector with a state certification, to provide inspection services on two Los Angeles Unified School District (LAUSD) construction projects that Gateway was working on. But when the Gateway-Varisco relationship ended a number of months later, Varisco sued Gateway for wrongfully terminating his employment. The lawsuit's fate turned on whether Varisco was an employee or an independent contractor. . . . more
Independent Contractors: Why Newspaper Carriers Were Employees for Workers' Comp Purposes
July 2008
It's not uncommon for a workers' compensation insurer and an employer to disagree over whether certain workers are properly classified as employees or independent contractors. The distinction is important . . . more
Family and Medical Leave: Ruling Spotlights Liability Issues for Staffing Firms and the Employers That Use Them
July 2008
Many employers that hire workers through staffing agencies may believe the federal Family and Medical Leave Act (FMLA) does not apply to them when it comes to these employees. However, in a new case that is . . . more
News Notes: Oakland Cab Drivers Win the Right to Organize
March 2008
The Ninth Circuit Court of Appeals has ruled that drivers for Friendly Cab Co. in Oakland are employees and not independent contractors. As a result, the drivers are covered by National Labor Relations Act provisions that give employees--but not independent contractors--the right to join a union. . . . more
California Legislative Roundup: A Lean Year for Employment-Related Measures; A Look at New Laws—and Key Vetoes
December 2007
Although there were many bills on the table this year that could have made a big impact on the workplace, 2007 has turned out to be another slow year for new employment-related laws in California. Although . . . more
News Notes: FedEX Drivers are Employees, Not Contractors, Says Court
November 2007
A California appeals court has upheld a ruling that FedEx drivers who sued the company over work-related reimbursements were employees rather than independent contractors. The drivers were totally integrated into the . . . more
Independent Contractor Agreement
CEA Online Exclusive
A written independent contractor agreement is essential to document the mutual understanding between you and your contractor that the person is not an employee. This month, we're providing a sample general agreement that can be customized as needed. Online subscribers can access this sample form now. . . . more
Independent Contractors: New Case Highlights the Tax Dangers of Misclassification
July 2007
Employee? Independent contractor? Getting it right is critical because improper classification of workers can have big tax consequences and other costly repercussions, as a new case shows . . . more
Contingent Workers & Independent Contractors
Contingent Workers & Independent Contractors Contingent workers and independent contractors are typically hired for a specific project, for one-time events, for skills not normally required of employees, or when the workload is expected to exceed normal limits. Use this form as a guide for your policy in this area. . . . more
Independent Contractors: Delivery Workers Were Employees for Workers' Comp Purposes; The Key Factors to Consider
November 2006
As you look for ways to cut employment costs, it could be tempting to use independent contractors rather than employees. The savings are clear. For example, you wouldn't have to provide expensive employee benefits, pay overtime, or cover the person for workers' compensation. But imposing independent contractor status can have serious consequences . . . more
News Note: Delivery Drivers Misclassified as Independent Contractors
October 2006
Recent rulings regarding FedEx Ground drivers demonstrate the risks of misclassifying workers as independent contractors rather than employees. In one development, . . . more
Independent Contractors: Not Disclosing Worksite Hazards Can Make Hirer Liable for Injuries to a Contractor's Employee
April 2006
In a series of cases in recent years, the California Supreme Court has discussed the circumstances when an independent contractor's employee can sue the hirer of that contractor for work-related injuries, rather than just collect workers' compensation benefits. Now a new high court opinion further clarifies when you can be sued . . . more
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