Employers should take care to ensure that independent contractors are properly classified, as additional scrutiny is being placed on classification, and heavy financial penalties are being proposed.   This article demonstrates how severe a penalty employers can pay for misclassifying employees as independent contractors in Connecticut, even where unintentional.  As the article mentions this increase in [...]

Startups are not immune to the pitfalls of misclassifying employees as Independent Contractors (ICs).  ICs can provide startups with competitive advantage and access to the talent that they need, nonetheless IC compliance needs be a priority.  The complex and subjective nature of government regulations are simply beyond the expertise of many entrepreneurs.  Fortunately there are [...]

From Business Management Daily: A Plano cable TV installation company must pay $270,696 in back over­time to 114 workers it incorrectly classified as independent contractors instead of employees. Integral Devel­opment Solutions LLC will make the payments under the terms of a set­tle­ment agreement after the U.S. Depart­ment of Labor (DOL) sued on the workers’ behalf. [...]

Connecticut labor officials said Wednesday that they have recently halted work by 19 companies at six construction sites in Westport. The state said the firms misclassified workers as independent contractors to avoid workers compensation and other payments. Gary Pechie, director of the Department of Labor’s division of wage and workplace standards, said the companies face [...]

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