independent contractors News

States Going After Employers Who Misclassify Workers as Independent Contractors

When construction slowed during the recession, some companies hired workers and wrongly designated them as independent contractors to avoid paying insurance, taxes, fair wages and overtime. Danny Odom, chief operating officer of Odom Construction Systems, Inc. in Knoxville, Tennessee, says …

Maine Adopts Uniform Standard for ‘Independent Contractor’ Classification

Maine has adopted a new, uniform standard for who can be classified as an “independent contractor” for worker’s compensation and other employment-related cases. The change went into effect on Dec. 31, 2012. State officials say the uniform definition will help …

South Carolina Erotic Dancer Not Covered by Workers’ Compensation

A South Carolina court has found that an erotic dancer who suffered a gunshot wound while performing is not eligible for workers’ compensation benefits since she didn’t meet the definition of being an employee at the club where she was …

Massachusetts Court Rules on Scope of Independent Contractor Exclusion

A Massachusetts court recently ruled in favor of insurer Lloyd’s in a dispute over a commercial property and general liability policy excluding coverage for independent contractors. The insured, a property development firm called Cable Mills LLC, and its insurance agency …

IRS Gives Employers Break on Misclassified Employees

The Internal Revenue Service is offering a break to employers who come clean about wrongly classifying workers as independent contractors to avoid paying federal payroll taxes, the agency announced this week. What happens when workers are considered independent contractors? Employers …

Mass. Court Rules on Joint Employers’ Responsibilty for Workers’ Comp

Two employers can be held jointly responsible for workers’ compensation benefits for an injured worker whom they both classified as an independent contractor, a Massachusetts appeals court has ruled. The Massachusetts Appeals Court said the case presented the first appellate …

Allstate Agents Hope Unionization Sparks Changes at Insurer

Some unhappy Allstate Insurance agents who say the insurer controls them like employees even though they are independent contractors are moving to affiliate with a union. The National Association of Professional Allstate Agents (NAPAA) claims that the giant insurer is …