From JDSupra, Richard Reibstein discusses the United States Department of Labor’s Opinion Letter which said that workers engaged through an online platform were independent contractors. Richard writes: A Brief Analysis of the Six Factors Under the Opinion Letter According to the new Opinion Letter, the six factors indicative of IC status are all “derived from…
Staffing Industry Analysts (SIA) was among the first to report that the United States Department of Labor issued an opinion letter saying that workers who engage through a virtual platform are independent contractors. SIA reports: The US Department of Labor today issued a new opinion letter concluding that workers who provide services to consumers through a…
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…
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…
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.…
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…
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…
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…
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…
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…