Archive for the ‘MISCLASSIFICATION’ Category

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...
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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...
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...