Totality of circumstances, not single or multi-factor test, determines employee or independent contractor status, says Colorado Supreme Court

From Wolters Kluwer — “In two recent decisions, the Colorado Supreme Court rejected single and multi-factor tests used by courts and administrative agencies in determining whether individuals are employees or independent contractors under the Colorado Employment Security Act. Instead, the court adopted a “totality of the circumstances” test that involves an “inquiry into the nature…

Lowe’s takes a blow with seven figure settlement of independent contractor misclassification suit

From Lexology — “As the Lowe’s lawsuit demonstrates, drawing the line between independent contractors and employees is very tricky, and if done incorrectly, it can lead to big liability. In addition to the amounts in dispute in the Lowe’s lawsuit, if you misclassify your independent contractor you can face government audits (unemployment social security…), or even…

The Tax Risks of Misclassifying Employees

From The National Law Review — “Employers often prefer to hire independent contractors so that the employer can avoid payment of federal and state employment taxes, federal and state unemployment insurance taxes, employee benefits, and workers’ compensation premiums. The IRS’s concern is that the increasing use of independent contractors in the workplace is leading to a…

A Peek into Freelancing

From Policy Bee — Related articles Secrets top freelancers aren’t telling you (guerrillafreelancing.com) 5 important legal resources for freelancers (nathansgibson.org) Related posts: Survey: For Many, Freelancing Pays Better Than Traditional Jobs From Forbes, Elaine Pofeldt shares the results of a survey of over 7,000 adults conducted by the Freelancers Union and Upwork. Elaine writes terrific articles…

Tennessee Targets Workers’ Comp Fraud in Construction Industry

From the Insurance Journal — “The Tennessee Department of Labor has been expanding efforts to uncover employer fraud within the construction industry. The efforts, aided by recent legislation,  will help identify employers who are paying workers under the table, intentionally misclassifying workers as independent contractors, and who are failing to report all wages paid.” Read…