Independent contractors misclassification is a severe problem in the United States. The Department of Labor has called it “one of the most serious challenges facing the American workforce today.”If you are an independent contractor who has been misclassified, you should know a few things. In this blog post, we will explore five of them. From your rights as an employee to the statute of limitations for filing a claim, read on to learn more.
What is Independent contractor misclassification?
Independent contractor misclassification occurs when an employer incorrectly classifies an employee as an independent contractor. This can happen when an employer fails to correctly assess whether the worker in question is truly an independent contractor or if they are an employee.
Employees who are misclassified as independent contractors may be entitled to back pay, benefits, and other compensation that they would have received had they been correctly classified. If you believe you have been misclassified as an independent contractor, you should speak to an experienced employment lawyer to discuss your options.
5 Things You Need To Know About Independent Contractor Misclassification Claims
Misclassifying employees as independent contractors can have some nasty consequences. In some cases, it’s illegal – for example, if the employer misclassifies an employee and deducts taxes from their paychecks rather than paying taxes on behalf of the worker.
In other cases, such as charging a higher insurance rate for independent contractors, it might be unethical but not illegal. Whatever the case may be, you’ll want to be aware of your company’s practices so that you can avoid any potential legal issues in the future and save yourself time and a headache.
You may be entitled to certain benefits and protections under the law if a contractor is misclassified as an employee. Here are five things you need to know about contractor misclassification claims:
- Entitled to back pay and benefits
You may be entitled to back pay and benefits if you are misclassified as an independent contractor. You may also be able to file a claim against your employer for violating the Fair Labor Standards Act. If you win your case, you may be awarded damages, including lost wages and benefits, plus interest and attorneys’ fees.
- File a claim with the Department of Labor
If you believe your employer has misclassified you as an independent contractor, you can file a claim with the Department of Labor. You will need to provide evidence to support your claim, and the Department of Labor will investigate the matter. If they find that your employer has indeed misclassified you, they will take appropriate action against them.
- File a private lawsuit
If you believe that your employer has misclassified you as an independent contractor, you may be able to file a private lawsuit against them. To do this, you will need to prove that you were an employee of the company and misclassified as a contractor. You will also need to show that you were harmed by this misclassification, such as not being paid overtime or not being eligible for certain benefits. If you are successful in your lawsuit, you may be able to recover damages from your employer.
- An injunction against your employer
If you suffer from independent contractor misclassification, you may be able to get an injunction against your employer. This would prohibit your employer from continuing to misclassify you and require them to provide you with the benefits and protections you are entitled to as an employee. You may also be able to recover damages, including back pay and benefits that you should have received as an employee.
- Get punitive damages
You may be entitled to punitive damages if you’ve been misclassified as an independent contractor. Punitive damages are awarded to punish the wrongdoer and deter others from engaging in similar conduct. To recover punitive damages, you must prove that the defendant acted with malice, fraud, or oppression. If you can prove that the defendant knew that they were misclassifying you but did it anyway, you may be able to recover punitive damages.
You may be entitled to certain benefits and protections if you are an independent contractor who has been misclassified as an employee. To learn more about your rights and how to assert them, contact the experienced attorneys at Pacific Attorney Group. We can help you understand the laws governing misclassification claims and fight for the compensation you deserve. Call us at (213) 486-3084 NOW!