Archive for the ‘MISCLASSIFICATION’ Category

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...
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Jun
2015
23

Not a Typo: Wal-Mart Misclassification Suit Could Result in More Than $100,000,000 Settlement

Not a Typo: Wal-Mart Misclassification Suit Could Result in More Than $100,000,000 Settlement
  A recent ruling that Wal-Mart violated state minimum wage laws by not correctly paying its truckers could force the company to face penalties exceeding $100,000,000.  The class of drivers argued that they were not compensated for mandatory activities and tasks such as inspecting and washing their trucks.   U.S. District Judge Susan...
Jun
2015
16

Iowa Business Lobbies, GOP Nonplussed by 39K Workers Losing $600M to Wage Theft Annually

Iowa Business Lobbies, GOP Nonplussed by 39K Workers Losing $600M to Wage Theft Annually
  In Iowa, wage theft has ballooned into an epic-demic, costing more than 39,000 minimum wage workers more than $600 million per year. Despite these astronomical figures, attempts to pass legislation that would halt the practice has faltered in the face of big business interests and Republicans legislators who shoot down helpful bills.   A...
Jun
2015
16

$228M Misclassification Settlement May Send Ripples Through Industry, On-Demand Economy

$228M Misclassification Settlement May Send Ripples Through Industry, On-Demand Economy
  FedEx has agreed to settle with over 2,000 past and present California workers who claimed they were misclassified as independent contractors.  The $227 million settlement comes amidst a multitiude of long-running legal battles affecting FedEx drivers. Last August, a federal appeals court ruled that the workers were employees and therefore...
Jun
2015
12

Big Court Decision: Joint Employers Can Be Held Liable for Subcontractors’ Misclassification

  The California Court of Appeal has ruled that joint employers can be held liable for employee misclassification.  The decision comes from the Noe v. Superior Court (Levy Premium Foodservice Ltd. P’ship) case in which workers who sold food and beverages at AEG venues claimed they were being illegally misclassified as independent...
Jun
2015
12

Exit Stage Wrong: Live Nation Subcontracting in the South to Avoid Paying Proper Wages

Exit Stage Wrong: Live Nation Subcontracting in the South to Avoid Paying Proper Wages
  In his latest piece for The Los Angeles Times, writer Michael Hiltzik exposes a misclassification scheme run by Live Nation Entertainment that ensures stagehands in the South make near poverty wages.  While we regularly feature misclassification in the construction industry on this site, Hiltzik’s piece exemplifies the widespread...
Jun
2015
9

More Like Balk: Suit Claims $4B Retailer Belk Routinely Misclassifies Employees to Avoid Overtime Pay

More Like Balk: Suit Claims $4B Retailer Belk Routinely Misclassifies Employees to Avoid Overtime Pay
  A lawsuit claims that North Carolina-based retailer Belk does not pay overtime to its loss prevention managers, bucking the Fair Labor Standards Act (FLSA).  The workers are labeled “administrative employees” by Belk and therefore do not qualify for overtime. During their investigation, lawyers with Fibich, Leebron, Copeland,...
Jun
2015
9

Really, Guys? Home Builders, Truckers, Bakers Lobbies Fighting DOL’s Ability to Spend on Misclassification Enforcement

Really, Guys? Home Builders, Truckers, Bakers Lobbies Fighting DOL's Ability to Spend on Misclassification Enforcement
  A coalition of anti-worker trade associations is fighting the Department of Labor (DOL) in hopes of stopping state grants to fund programs for cracking down on employee misclassification.  According to The Wall Street Journal, the National Association of Home Builders (NAHB), American Trucking Associations (ATA), and American Bakers...
Jun
2015
5

58 Misclassified Plumbers and Pipefitters Awarded Back Wages for U.S. Army Work in Hawaii

58 Misclassified Plumbers and Pipefitters Awarded Back Wages for U.S. Army Work in Hawaii
  A recent federal investigation found that a California-based HVAC subcontractor must pay $99,681 in back wages and penalties to 58 workers who worked on three U.S. Army projects in Hawaii between 2011 and 2013.  According to the U.S. Department of Labor (DOL), Critchfield Pacific Inc. misclassified plumbers and pipefitters as...
Jun
2015
1

Large CA Insurance Co. Laying off 2000 Workers, Rehiring Them as Independent Contractors

Large CA Insurance Co. Laying off 2000 Workers, Rehiring Them as Independent Contractors
  California company Health Net Inc. has informed the state’s Employment Development Department that they intend to lay off 2,000 workers and rehire them as contractors through a subcontractor.  The layoffs are effective June 26th. The company asserts that no worker will be left jobless, but the consulting firm responsible for executing...
May
2015
28

Big Misclassification Ruling: FL Court Says Uber Driver Was Employee, Is Owed Unemployment Benefits

Big Misclassification Ruling: FL Court Says Uber Driver Was Employee, Is Owed Unemployment Benefits
  In a decision that could set a new precedent for Uber and the on-demand economy in general, a Florida court has decided that an Uber driver was an employee when he had his account deactivated and is thus entitled to unemployment benefits.   Darren McGillis, a 46-year-old former driver, was stripped of his right [&hellip...