Monday, December 19, 2016
On December 19, the United States Department of Labor (DOL) issued what it describes as a “user-friendly webpage where workers, employers, and government agencies can find information and resources” about misclassification of workers as independent contractors.
In the announcement about its new educational and resource tool, the DOL states that the misclassification of employees as independent contractors is a “huge problem for workers, employers who play by the rules and our economy.” It also quotes two alleged victims of misclassification, a taxi driver who said he was underpaid and subjected to terrible working conditions akin to “modern day slavery,” and a masonry contractor who said that misclassification “makes for an unfair playing field” that “has to stop.”
In the cover page, the DOL states that it supports the use of legitimate independent contractors, but when employers deliberately misclassify employees as independent contractors in an attempt to cut costs, everyone loses. The DOL then states that “this new resource offers information about how misclassification affects pay, unemployment insurance, safety and health protections, retirement and health benefits, and taxes. It then pleads to the user: “Help us address this problem by learning more.”