Miami Partner Robin Taylor Symons and Senior Counsel Truth Fisher were quoted in a November 28th article in the Daily Business Review titled "Feds Get Tougher on Misclassifying Workers."
According to the article, the poor economy has been an enticement for employers to classify workers as independent contractors in order to save on overtime and benefits. A 2009 study by the Treasury Department concluded that misclassifying costs the U.S. government $54 billion in underpaid taxes. In an effort to resolve the issue, the Internal Revenue Service and the Labor Department have collaborated their efforts to pursue employers who misclassify employees.
The Labor Department also has a 20-question litmus test to help employers determine how a worker should be classified. As Truth explains, "One of the biggest misconceptions employers make is that classifying an individual as an employee or independent contractor is discretionary." Robin further explains that "if you tell them when to show, what they should do and how they should do it, they are more likely considered an employee."
To read the full article, please click here.