Misclassification Affects Everyone 

 

The United States Department of Labor recently launched a new website to help workers and employers with misclassification issues.  The DOL launched the website with this announcement:

Misclassifying employees as independent contractors is a huge problem for workers, employers who play by the rules and our economy.

To help tackle this issue, the Labor Department has created a user-friendly webpage where workers, employers and government agencies can find information and resources: www.dol.gov/misclassification.

Employee or Independent Contractor?

 

Miguel Chavez, a taxi driver, was a victim of misclassification – and as a result, was underpaid and subjected to terrible working conditions. He stayed with his job not because he thought what was happening was legal or right, but because he felt his job options were limited by his age. “It was just like modern day slavery,” he said.

Misclassification also hurts employers like masonry contractor Doug Burton. “Those misclassifying workers are not paying worker’s compensation premiums and no federal or state withholding taxes,” he told us. “It makes for an unfair playing field and it has to stop.”

Learn more about how misclassification affects pay, Unemployment Insurance, safety and health protections, retirement and health benefits, and taxes on our new page.

Can’t find an answer to your misclassification question? Contact us toll-free at 1-866-4-USA-DOL (1-866-487-2365).

Tiffany Koebel works in the department’s Office of Public Affairs.

Source: Misclassification Affects Everyone | United States Department of Labor

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