Archive for the ‘MISCLASSIFICATION’ Category

Aug
2015
24

Driving Miss Classification: Drivers Win More Multi-Million Dollar Independent Contractor Suits

Driving Miss Classification: Drivers Win More Multi-Million Dollar Independent Contractor Suits
  A bevy of recent misclassification cases in California show how widespread the epidemic has become in an array of industries over the past half a decade.  But last week the U.S. Department of Labor (DOL) announced that it had settled with National Consolidated Couriers Inc. for a whopping $5 million in unpaid wages and [&hellip...
Aug
2015
17

NC Another Step Closer to Addressing Awful History of Employee Misclassification

NC Another Step Closer to Addressing Awful History of Employee Misclassification
  Last week, the North Carolina House gave tentative approval to the “Employee Fair Classification Act”, which would curb the widespread employee misclassification that has plagued the state.  Last autumn, a McClatchy investigation found that misclassification in the construction industry alone costs the state $467 million annually. ...
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Aug
2015
13

Joint Employers and Perma-Temps: The Browning-Ferris Decision Inches Closer

Joint Employers and Perma-Temps: The Browning-Ferris Decision Inches Closer
  Businesses are bracing for an upcoming ruling from the National Labor Relations Board (NLRB) in the case of Browning-Ferris Industries, which will likely redefine the term “employee” for franchises and companies who employ temporary workers through staffing agencies.  By the end of the month the board is expected to make its...
Jul
2015
28

Another KS Court Rules In Favor of Misclassified FedEx Drivers; 19 Class Actions Pending

Another KS Court Rules In Favor of Misclassified FedEx Drivers; 19 Class Actions Pending
  The Seventh Circuit Court of Appeals has ruled in favor of 500 drivers in Kansas who sued FedEx in 2003 claiming they were misclassified as independent contractors. The decision upholds a ruling from the Kansas Supreme Court which found that the drivers met the state’s 20-point test to determine their employment status under the [&hellip...
Jul
2015
24

IUPAT Efforts Uncover Labor Abuses, Safety Gaps in Colorado Painting Industry

  As part of its Constructing Justice campaign, the Denver chapter of the International Painters Union and Allied Trades (IUPAT) had conversations with more than 600 union and nonunion painters over the past year to better understand the labor abuses they face.  The results show a widespread epidemic of wage theft, misclassification, and a...
Jul
2015
22

On-Demand Economy Startups Begin Using Employee Model Instead of Independent Contractors

On-Demand Economy Startups Begin Using Employee Model Instead of Independent Contractors
  The on-demand economy is at a crossroads as employee misclassification lawsuits are beginning to chip away at the viability of a business model often built on hiring independent contractors.  Homejoy, a three-year-old home cleaning startup which had raised $40 million, recently announced that it would shut down at the end of the month....
Jul
2015
22

Teamsters Back CA Bill to Grant Amnesty to Drayage Co.’s Who Reclassify Drivers by 2017

Teamsters Back CA Bill to Grant Amnesty to Drayage Co.'s Who Reclassify Drivers by 2017
  In California, Assemblymember Roger Hernandez has introduced a bill which will provide drayage companies a limited period of amnesty to reclassify their drivers as employees. This would be contingent upon a settlement with the state on behalf of the drivers in question.  The bill, AB 621, is currently before the state Senate appropriations...
Jul
2015
20

Worker Win: DOL Adopts Broader Definition of “Employee” for Misclassification Cases

Worker Win: DOL Adopts Broader Definition of
  The Department of Labor’s Wage and Hour Division has issued a new 15-page guidance aimed at employers who try to get away with misclassifying employees as independent contractors.  Under the guidance, most workers would be classified as employees under the Fair Labor Standards Act (FLSA).  David Weil, head of the DOL’s Wage and...
Jul
2015
16

Clinton Highlights Lack of Workplace Protections In the On-Demand Economy, Rand Paul Goes Nuts

Clinton Highlights Lack of Workplace Protections In the On-Demand Economy, Rand Paul Goes Nuts
  In a speech on Monday at the New School in Manhattan, presidential candidate Hillary Clinton blasted the on-demand economy, arguing that despite great innovation, many companies reliant on this new type of labor are repressing middle-class wage growth.  The speech was viewed as a direct shot at Uber, which has faced a series of [&hellip...
Jul
2015
8

Robbery Lobby: Home Builders Successfully Strip DOL of $10M Intended to Fight Misclassification

Robbery Lobby: Home Builders Successfully Strip DOL of $10M Intended to Fight Misclassification
  In a troubling decision, the House and Senate Labor, Health, and Human Services subcommittees have stripped $10 million in funding from the 2016 federal budget, money that is vital to the Department of Labor’s effort to fighting employee misclassification. The money would have provided grants to state governments attempting to crack...
Jun
2015
26

Misclassification of Electricians as Laborers Puts New Bedford Co. $125,000 in the Hole

  A New Bedford-based solar company has been ordered to pay over $125,000 in back wages and penalties for violations of Massachusetts’ prevailing wage and hinderance laws.  The office of Attorney General Maura Healey claims that  Cavallo-Cavallo, Inc., doing business as Beaumont Solar Co., and owner Phillip V. Cavallo should pay...
Jun
2015
23

GOP Support Makes GA the Latest Unlikely State to Consider Misclassification Legislation

GOP Support Makes GA the Latest Unlikely State to Consider Misclassification Legislation
  As we have written many times in the past, politicians on the right side of the ideological aisle are taking an increasing interest in preventing employee misclassification. Despite their motives differing from the pro-labor Democrats’ who originally spearheaded raised awareness of this issue, the signs of bipartisan agreement are...