Independent contractor misclassification
According to an article in yesterday’s Chicago Sun Times, the National Employment Law Project’s Cathy Ruckelshaus testified in front of the U.S. House Committee on Education and Labor’s Subcommittee on Workforce Protections on the subject of independent contractor misclassification. Cathy recommended that the U.S. Department of Labor:
• Conduct proactive audits of problem industries with persistent violators, and share data with the unemployment insurance arm of the department.
• Be required to share information on independent contractor problems, and coordinate with the Internal Revenue Service.
• Mandate seizing goods produced under substandard conditions and where misclassification has taken place.
The Workers’ Rights Law Center has confronted overt misclassification of workers as independent contractors in several of our cases in a variety of industries, from construction to janitorial to food service. Misclassification does not just impede enforcement of wage and hour, employment discrimination, and other worker protections. It is also a concern for organized labor. Employers in industries with high concentrations of unionized workplaces will often misclassify their workers as independent contractors to stave off labor organizing campaigns.
We fully agree with NELP’s recommendations, and we applaud their efforts. It is time for employers to stop defrauding workers, the government, and organized labor.
Click here to view the Chicago Sun Times article: Steps urged to prevent misclassification of workers .