Archive for the ‘MISCLASSIFICATION’ Category

Sep
2014
17

Texas Tops List of States Receiving New DOL Grant Money to Fight Misclassification

Texas Tops List of States Receiving New DOL Grant Money to Fight Misclassification
  The U.S. Department of Labor has announced $10 million in grants to 19 states to help them expand the crack down on employers who cheat state Unemployment Insurance (UI) systems by misclassifying employees as independent contractors.  The initiative is part of the department’s broader addressing of misclassification, which has worsened...
Sep
2014
15

Fair-weather Friend: Exposé Springs Previously Uninterested NC Gov Into Action on Misclassification

Fair-weather Friend: Exposé Springs Previously Uninterested NC Gov Into Action on Misclassification
  Rampant employee misclassification has finally become a hot-button topic nationwide following a sweeping set of stories from McClatchy. The series, “Contract to Cheat,” focuses on the abuse of independent contractor employment status in several states around the U.S. In North Carolina, the Charlotte News and Observer details the...
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Sep
2014
11

Strikes, Suits, and Wrongful Firings: Port Trucking’s Wonderful World of Endless Tension

Strikes, Suits, and Wrongful Firings: Port Trucking's Wonderful World of Endless Tension
  Last week, thirty-three port truck drivers were fired by Total Transportation Services Inc. (TTSI) for not withdrawing wage and hour claims made with the California Division of Labor Standards Enforcement (DLSE).  Four of the fired drivers had just been awarded an average $68,211 in back wages after the DLSE found that they were...
Sep
2014
5

TJ Maxx Misclassified Managers Lawsuit May Only Be the Beginning for Busting Big Retailers

TJ Maxx Misclassified Managers Lawsuit May Only Be the Beginning for Busting Big Retailers
  TJX, the parent company of discount retailer TJ Maxx, is currently facing a lawsuit from their assistant managers who claim they were misclassified in violation of the Fair Labor Standards Act (FLSA).  Under the FLSA, workers are required to be paid the minimum wage and time-and-a-half for all hours worked over 40 per week [&hellip...
Sep
2014
4

From the Shadows: 1 in 6 California Construction Workers are Undocumented or Misclassified

From the Shadows: 1 in 6 California Construction Workers are Undocumented or Misclassified
  A new report from the Economic Roundtable, “Sinking  Underground: The Growing Informal Economy in California Construction,” shows that one in six construction workers in California are either misclassified or working completely off the books.  For a state whose construction industry is worth $152 billion and employs 895,000 workers,...
Sep
2014
4

Collecticut: $6.5M in Back Wages Recovered Over Past Year in CT, but Much Work Remains

Collecticut: $6.5M in Back Wages Recovered Over Past Year in CT, but Much Work Remains
  Over the past year, the Connecticut Department of Labor’s Wage and Workplace Standards Division recovered $6.5 million in back pay for workers.  While the organization has stepped up its efforts since the recession, the amount collected represents only a percentage of the wage theft that occurs in the Constitution State, according to the...
Sep
2014
2

CHART: Wage Theft (by Bosses) More Than Doubles Actual Theft (by Robbers) in Kentucky

CHART: Wage Theft (by Bosses) More Than Doubles Actual Theft (by Robbers) in Kentucky
  Kentuckians lose more than twice the amount of money to bad bosses than they do to robbers according to an odd new chart from the Kentucky Labor Cabinet.   Comparing numbers from the Kentucky State Police to their own data, the office discovered $2.5 million more in wage theft (from 12,264 victims) than common [&hellip...
Sep
2014
2

Fedex’s Ruthless Approach to Misclassifying Employees Ruled Unlawful by California Court

Fedex's Ruthless Approach to Misclassifying Employees Ruled Unlawful by California Court
  In California last week, the Ninth Circuit of Appeal ruled in favor of 2,300 FedEx drivers who were illegally misclassified as independent contractors.  The class action lawsuit covers drivers who worked in California between 2000 and 2007.   While no monetary penalty or settlement has been announced, the ruling could potentially leave...
Aug
2014
28

Bricklayers Union Takes on Watchdog Role in Fight Against Misclassification, Exploitation of Immigrants

Bricklayers Union Takes on Watchdog Role in Fight Against Misclassification, Exploitation of Immigrants
  An interesting piece from South Coast Today writer Simon Rios delves into the union/non-union divide that exists in Massachusetts’ masonry industry.  In the article, Jim Pimental, Vice President of the Bricklayers and Allied Craftsmen Local 3, discusses the ways unions keep non-union contractors in check when it comes to...
Aug
2014
18

Virginia to Establish Taskforce to Combat Employee Misclassification, Payroll Fraud

Virginia to Establish Taskforce to Combat Employee Misclassification, Payroll Fraud
  Virginia Governor Terry McAuliffe has signed an executive order (EO) establishing a task force to combat employee misclassification and payroll fraud. Using state and national studies on the subject, it is estimated that worker misclassification costs Virginia nearly $28 million in annual income tax collections.  Executive Order 24 directs...
Aug
2014
13

REPORT: Misclassification Resulting in Staggering Tax Revenue Loss, Unfunded Unemployment Insurance

  The Illinois Department of Employment Security (IDES) has released new numbers showing that the state’s employers have nearly 20,000 workers misclassified as independent contractors, which cost the state $250 million in wages and contributions to social programs in 2013.  Illinois taxpayers ultimately cover the costs of misclassification...
Aug
2014
12

Critical Mass: RI Follows Model of Neighbor State to Crack Down on Wage Theft, Misclassification

  The Rhode Island Senate has approved legislation which will create a Joint Task Force on the Underground Economy in order to combat employee misclassification and wage theft.  Similar to the task force created by Gov. Deval Patrick in neighboring Massachusetts, little Rhodey’s version will direct state agencies to reduce fraud and abuse...