A $6.5 million settlement between Lowe’s Home Centers and a class of its home improvement contractors was approved by a federal court judge in California earlier this week. The contractors claim that they had been misclassified as independent contractors instead of employees. The maximum settlement amount, depending on the number
Search results for: fedex
October 2014 Independent Contractor Compliance and Misclassification Update
In the Courts (8 cases)
- TAX COURT DECISION REMINDS COMPANIES THAT “OFFICERS” ARE STATUTORY EMPLOYEES AND THEREFORE CANNOT BE INDEPENDENT CONTRACTORS. The United States Tax Court held that a company that was engaged in the buying, reconditioning, and selling of cars misclassified as independent contractors instead of employees two of
…
September 2014 Independent Contractor Compliance and Misclassification Update
This month’s headline developments are the crescendo of cases finding against FedEx Ground’s classification of drivers as independent contractors. On the heels of last month’s decision by the U.S. Court of Appeals for the Ninth Circuit, which held that FedEx Ground had misclassified drivers who should have been classified as…
Silicon Valley Misclassification: ‘New York’ Magazine Focuses on How the 1099 Economy May Be Exposing Tech Start-Up Companies to Costly Liability for Their Use of Independent Contractors
Today’s online edition of New York Magazine’s “Daily Intelligencer” includes a comprehensive article on how Silicon Valley start-up tech companies using “the 1099 model” may be exposed to employment, tax, and benefit law liabilities that could drive them out of business or cause them to change to a W-2 model.…
U.S. Labor Department Awards $10.2 Million to 19 States to Help Finance Their Crackdown on Independent Contractor Misclassification; Four States Get “Bonus” Awards for Improved Detection Results
The news from Washington, D.C. yesterday is that the U.S. Department of Labor is funding 19 states’ efforts to crack down on businesses that unwittingly or intentionally fail to make unemployment contributions for individuals misclassified as independent contractors. While class actions in court continue to receive the most attention, unemployment…
August 2014 Monthly Independent Contractor Compliance and Misclassification Update
This month’s headline developments are the seismic decisions, issued on August 27, 2014 by the U.S. Court of Appeals for the Ninth Circuit, concluding as a matter of law that FedEx Ground had misclassified over 2,300 drivers in California and a smaller group of drivers in Oregon. The appellate decision…
Another Logistics and Delivery Company Found to Have Misclassified its Drivers as Independent Contractors
The use of independent contractors in the logistics and home delivery industry has suffered another legal setback. Earlier this week, the United States Court of Appeals for the Ninth Circuit, applying California law, concluded that 300 drivers who were retained by Affinity Logistics Corp. to make home deliveries and…
March 2014 Monthly Independent Contractor Compliance and Misclassification Update
March 2014
In the Courts
- LOGISTICS COMPANY HIT WITH $2.2 MILLION IC MISCLASSIFICATION CITATION. Pacer Cartage, which was recently acquired by logistics giant XPO, was ordered by the California Labor Commissioner’s Division of Labor Standards Enforcement (DLSE) to pay $2,214,496.39 in back pay, attorney’s fees, and interest for reportedly having
…
Governor Cuomo Signs Bill Extending Effective Date of New Independent Contractor Law in New York for Transportation and Delivery Industries
After months of uncertainty in the second half of 2013 and the first three months of 2014, the law of independent contractor misclassification in New York State will change in the transportation and delivery of commercial goods industry on April 10, 2014. Yesterday, March 17, 2014, Governor Andrew Cuomo signed…
Governor Cuomo Extends Effective Date of New York Commercial Goods Transportation Industry Fair Play Act and Signs “Technical Amendments”
The law of independent contractor misclassification in New York State is about to change for many companies in the business of transportation or delivery of commercial goods – but no one quite knows if it will be tomorrow or in another 30 or more days.
The new law targets transportation …