The United States Department of Labor announced that it signed an agreement with Alaska to cooperate in reducing misclassication of workers as independent contractors instead of employees. The announcement states:
Officials from the U.S. Department of Labor and the Alaska Department of Labor and Workforce Development have signed a three-year Memorandum of Understanding intended to protect employees’ rights by preventing their misclassification as independent contractors or other non-employee statuses. Under the agreement, both agencies may share information and coordinate law enforcement.
Background: The MOU represents a new, combined federal and state effort to work together to protect the employees’ rights and level the playing field for responsible employers by reducing the practice of misclassification. Alaska is the 25th state agency to join this effort with the U.S. Labor Department. Alabama, California, Colorado, Connecticut, Florida, Hawaii, Illinois, Idaho, Iowa, Kentucky, Louisiana, Maryland, Massachusetts, Minnesota, Missouri, Montana, New Hampshire, New York, Rhode Island, Texas, Utah, Washington, Wisconsin and Wyoming agencies have signed similar agreements.
More information on misclassification and the effort are available at http://www.dol.gov/misclassification/.
Quotes: “Misclassification deprives workers of rightfully earned wages and undercuts law-abiding businesses. This Memorandum of Understanding sends a clear message that we are standing together with the state of Alaska to protect workers and responsible employers and ensure everyone has the opportunity to succeed.”
— David Weil, U.S. Department of Labor Wage and Hour Division Administrator
“Preventing misclassification helps the overwhelming majority of law-abiding businesses and ensures that Alaskans get the wages and benefits they have earned through hard work.”
— Heidi Drygas, Alaska Labor Commissioner
See US Department of Labor signs agreement with Alaska Department of Labor and Workforce Development to protect workers from misclassification