United States

Labor Department Launches Pilot Program For Employers to Self-Report Wage Violations 

From JDSpura, David Baron, Michael DeLarco and Zachary Siegel describe the Department of Labor’s (DOL) initiative to encourage employers to engage in a self-audit and resolve potential violations.  They also raise a number of questions about the program that may inhibit participation in the program.  This program might provide an opportunity for employers who misclassified workers as…

Congress failed to fix tax woes for gig workers

Optimized-1099 forms

  From The Conversation, Caroline Bruckner discusses a problem for independent contractors:  firms who pay them are not required to issue form 1099 in many instances.  Caroline observes that the problem could have been addressed in the recent tax legislation. Caroline writes:  Like all businesses, the companies, in what is sometimes called the “sharing economy,” must issue…

Could Congress Soon Swoop In To Aid The Gig Economy?

the gig economy sign

  From JDSupra, Richard Meneghello discusses a proposal in the tax reform bill that would provide a safe harbor for companies engaging with independent contractors.  Richard writes: Among those identified by Senator John Thune (R-S.D.) is a provision that would provide a misclassification safe harbor to any business that takes certain steps as outlined in the bill.…

Safe Harbor Designation for Independent Professionals Good for the US 

harbor

  From the Staffing Stream, Gene Zaino discusses the value and importance of creating a safe harbor for independent professionals and MBO’s terrific recommendation for a Certified Self-Employed (CSE).  Gene write: MBO Partners has developed a working model for this safe harbor, dubbed Certified Self-Employed (CSE). The goal of such a designation is twofold: first, to remove roadblocks impeding the…

U.S. Labor Board Complaint Says On-Demand Cleaners Are Employees 

Handy website

    From BloombergPolitics, Josh Eidelson discusses a complaint issued by the the National Labor Relations Board that says workers for Handy Technologies, Inc were misclassified as independent contractors.  Josh writes: The National Labor Relations Board has issued a complaint against the digital on-demand platform Handy Technologies Inc., alleging that workers who provide its home cleaning services are…

Not Yet Time To Pop Champagne Corks After IC Guidance Withdrawn

Popping champagne

  From JDSupra, Richard Meneghello discusses the implications of the Department of Labor’s (DOL) withdrawn of its guidance on independent contractors.  Richard writes: Some analysts have said this development is “much ado about nothing,” that it is mere window dressing by the administration given that the informal guidance itself never really said anything new. Their view (which…

Is Trump’s DOL Pulling Back on Independent Contractor Classification Enforcement? Does it Matter?

DOL with draws guidance june 7

  From JDSupra, Aaron Goldstein discusses the impact of the withdrawal of guidance on independent contractor classification saying that it may show that the Department of Labor (DOL) is going to pursue misclassification claims less aggressively but employers can’t relax because of the risk of private lawsuits.  Aaron writes: The prior DOL guidance took the…

Labor Department Withdraws Independent Contractor Misclassification Guidance Issued in 2015: What Does this Mean for Businesses Using ICs 

DOL with draws guidance june 7

  From JDSupra, Richard J. Reibstein discusses the impact of the Department of Labor’s withdrawal of guidance on independent contractor classification. He indicates that this action is not likely to have a significant impact on the legal landscape. Richard writes: This action today by the Labor Secretary Acosta is likely to be portrayed by many…

The ‘State’ Of The Gig Economy Under Trump

President Donald Trump

  From Fisher Phillips, Amy Strauss discusses expectations that the Trump administration will have a “hands-off” approach to worker classification issues and the possibility that states will address misclassification issues. Amy writes: There is no question that America’s sharing — or “gig” — economy is growing and showing no signs of slowing down. Studies estimate…

Congress Still Seeks Ways to Adapt to Gig Economy 

Congress Capitol Hill

  From Bloomberg BNA, Tyrone Richardson discusses Congress’ efforts to address the changes in the gig economy.  Tyrone writes:   Benefits Follow Workers? Lawmakers have been considering options such as portable benefits, which would provide heath insurance, unemployment insurance and retirement benefits as a worker moves from job to job. Sen. Mark Warner (D-Va.) told the audience…