From the Boston Business Journal – “The Massachusetts court of appeals has upheld a lower court ruling that a staffing company in the trucking industry was liable to pay unemployment taxes on compensation earned by one of its drivers.
The company is Subcontracting Concepts Inc., headquartered in New York, and it had argued in Ayer District Court that a driver it hired out to a courier company worked as an independent contractor rather than as an employee. The state appeals court found that the driver was an employee.
SCI is in the business of providing drivers for delivery companies and also provides payroll services for its customers, according to a brief filed in this case by the Massachusetts Attorney General’s Office, which represented the Department of Unemployment Insurance in this matter.
The courier companies pay SCI a fee to provide them with drivers, and SCI passes along a portion of that fee to its drivers….”
Read the full story at In Mass appeals court ruling, a truck courier is an employee not an independent contractor