In the past eight years, the Obama Administration has spearheaded enforcement initiatives on independent contractor misclassification through the U.S. Department of Labor and the IRS. That crackdown, however, seemed to be focused on the low-hanging fruit – companies that often had little or no defense to the claim that they…

My update for this past month is noteworthy for the fact that I report below on IC misclassification lawsuits plaguing some of the largest and most recognizable companies in the U.S. (like Uber, Amazon, and FedEx) as well as a small local business like a New York City yoga studio. …

On October 27, 2016, the New York City Council passed a bill, commonly referred to as the Freelance Isn’t Free Act (No. 1017-2015), which is likely to be signed by the Mayor shortly. It seeks to ensure that independent contractors providing services as individuals are offered a written…

Earlier today, October 25, 2016, the New York Court of Appeals issued an important decision on the issue of independent contractor status.  The Court held that a group of yoga instructors working at a New York City yoga studio were not employees covered by the New York Unemployment Insurance Law…

FedEx’s costs due to IC misclassification are approaching $500 million over the past year as a result of appellate court decisions that concluded that FedEx did not draft in a valid manner its IC agreement and internal policies governing Ground Division drivers. Last Friday, an Oregon federal judge approved a…

The New York Times today reported that the New York State Department of Labor has found two Uber drivers as eligible for unemployment benefits after having rejected the company’s argument that the drivers are independent contractors. Uber has so far avoided any judicial determinations that its drivers are employees and…

The past month’s judicial and administrative activity in the area of IC misclassification reflects the wide range of industries facing these types of claims: communications; cleaning services; transportation and delivery services; adult entertainment; hospitality; construction; and television production of professional sporting events. Almost all of these are industries that I…

On September 21, the U.S. Court of Appeals for the Third Circuit issued a stinging decision against commercial cleaning franchisor Jani-King, certifying a class action in an independent contractor (IC) misclassification case arising in the franchising context. Williams v. Jani-King of Philadelphia Inc., No. 15-2049 (3d Cir. Sept.…