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Feds Unveil Website on Worker Classification

Tuesday, January 17, 2017

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The United States Department of Labor has launched a new website to help employers and workers know the difference between an employee and an independent contractor—and the consequences if workers are misclassified.

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“Misclassification,” the DOL says, occurs when an employer deliberately classifies a worker who is an employee under the law as something else, generally an “independent contractor.”

“Misclassification,” the DOL says, occurs when an employer deliberately classifies a worker who is an employee under the law as something else, generally an “independent contractor.” Workers who are denied employee status can miss out on wage and benefit guarantees that apply to employees.

Factors that play into whether an employee should be called an employee or a contractor include the nature of the work, the importance of the employer’s business to the worker, the permanency of the relationship, and the degree of control the employer displays.

For Employers, Workers

The new website features information for both employers and employees regarding their rights and responsibilities in relation to misclassification. In addition to a page dispelling “myths” about misclassification, it includes a link to the DOL’s whistleblower rights website for employees who believe they are being misclassified.

For employers, it includes fact sheets on federal law related to group health plans and retirement programs as relates to worker classification.

View the website here.

   

Tagged categories: Department of Labor; Labor; Laws and litigation; North America; Program/Project Management; Regulations

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