An Uber driver has prevailed in an independent contractor misclassification wage case in California. This decision involving the ride-sharing leader involved an individual claim by a driver who represented herself before the California Labor Commissioner seeking allegedly unpaid wages, including overtime, as well as unreimbursed “employee” expenses under California law.
$228 Million: The Cost of Independent Contractor Misclassification for FedEx Ground in California
Yesterday, June 12, FedEx announced in papers filed with the SEC that its Ground Division “has reached an agreement in principle with [drivers] in the independent contractor litigation that is pending in …California [federal court] to settle the matter for $228 million.” The proposed agreement, which has not yet been…
New Independent Contractor Misclassification Study Is Belied By Government Report and Disregards the Legitimate Use of Independent Contractors
The Economic Policy Institute, a respected nonprofit, nonpartisan think tank, has just released a working paper authored by a respected professor who co-authored a number of early academic studies detailing independent contractor misclassification in two Northeastern states. The working paper, entitled “(In)dependent Contractor Misclassification,” surprisingly contains little more…
May 2015 Independent Contractor Compliance and Misclassification News Update
May 2015 was one of the busiest months for independent contractor (IC) misclassification cases in the courts and administrative agencies – no less than a dozen cases including such well-known companies as BMW, the NFL and Buffalo Bills, Sleepy’s, FedEx, Super 8 Motels, and Uber, as well as some lesser…
Massachusetts High Court Holds that Restrictive Independent Contractor Statute Does Not Apply to Real Estate Salespersons in that State
In a long-awaited decision, the Supreme Judicial Court of Massachusetts ruled yesterday that the state independent contractor (IC) law, widely regarded as the most restrictive IC law in the nation, does not apply to licensed salespersons in the real estate industry. Monell v. Boston Pads, LLC, No. SJC-11661 (Mass.…
Independent Contractor Tax Fairness and Simplification Act of 2015 Seeks to Eliminate “Safe Harbor” for Businesses
New GAO Report on Contingent Workforce Shows 85% of Independent Contractors Are “Content with Their Employment Type”
A comprehensive government report on the contingent workforce made public two days ago revealed surprising data about independent contractors, finding that 85% of independent contractors “appeared content with their employment type.” Perhaps even more unexpected is that significantly more independent contractors (57%) were “very satisfied” with their jobs than those…
April 2015 Independent Contractor Compliance and Misclassification News Update
The leading news in the area of independent contractor compliance and misclassification in April 2015 is the settlement by Macy’s and its logistics company in New Jersey with the delivery drivers and their helpers used by Macy’s to deliver furniture, bedding, and other home furnishings and goods to its customers. …
2015 Update of the White Paper on “Independent Contractor Misclassification: How Companies Can Minimize the Risks”
Five years ago today, a White Paper was published, entitled “Independent Contractor Misclassification: How Companies Can Minimize the Risks,” which was updated in May 2012. During those five years, the White Paper has been the most widely viewed publication written by lawyers representing management on the subject of misclassification of…
March 2015 Independent Contractor Compliance and Misclassification News Update
This past month’s headline developments involve three major developments in the area of independent contractor (IC) misclassification. The first case involves a large department store that agreed to pay most of the costs of an IC misclassification settlement of a class action brought by drivers that signed IC agreements not…