Being Classified as an Independent Contractor When You Are an Employee is Against the Law

When you are classified as an independent contractor, that classification is supposed to be advantageous for you and for the company you work for. You get the freedom you want to be your own boss, and the company that you are working with does not have to pay for benefits that employees generally get, such as vacation pay, overtime pay, sick pay, and health insurance.

Unfortunately, if a company classifies you as an independent contractor when you are really an employee, then the relationship is to the advantage of the company you are working for and not to you. You still have all the restrictions and control you would have if you were an employee, but without the benefits you would get under employment law if you were an employee. If you believe that this has happened to you – whether on purpose or accidently – then you should contact an attorney right away.

We can fight for the right classification and the treatment you deserve

At The Law Offices of Larry H. Parker, we are proud to work with a local employment law firm that offers exceptional representation to workers who have been misclassified. We can look at your current relationship to determine if the status of independent contractor is the right status for your employment. If it is not, then we can help you take legal action as necessary.

That legal action could result in a number of benefits to you including being correctly classified as an employee, getting backpay for overtime, sick time, vacation time, etc., compensation for being denied healthcare, and other damages as applicable.

We can identify your correct status by looking at three IRS categories

We will begin by determining if you have been misclassified as an independent contractor by looking at the three categories the IRS uses to determine employment status. First, we will look at behavioral control. This refers to whether or not the company has control over your behavior via detailed instructions or training.

If you have been told when and where you can work, what supplies you must purchase, what tools you must use, and which other workers should be hired, then you may have been misclassified.

Second, we will look at financial control. Do you own the equipment you use? Does your employer expect you to pay for work expenses without being reimbursed? Is it possible you could lose money on those projects? If yes, then you likely have the freedom that comes with being an independent contractor.

Finally, we will look at the business relationship. Has the company you work with retained your services indefinitely? If they have, then you may be better classified as an employee. However, if you have been hired to complete a specific project – even if it is a several-year-long project, then it is likely you are correctly classified as a contractor.

If you have questions or want a free legal consultation to learn more about how this impacts your particular situation, contact The Law Offices of Larry H. Parker at 800-333-0000.