A hot topic being discussed recently is independent contractor misclassification. With cases such as the recent FedEx Ground suit that settled for $228 million the subject has attracted the attention of many CEOs and has them questioning whether independent contractors used by their companies are classified correctly.
Here are a couple steps companies can take to limit their exposure to independent contractor (IC) misclassification risk:
- “Properly restructuring, re-documenting, and re-implementing their independent contractor relationships in a manner that enhances their IC compliance.”
- “Not assuming that they are free from misclassification exposure simply by retaining contractors who operate in the form of business entities, such as corporations or LLCs.”
To take a deeper dive into six related court cases that discuss IC misclassification further select the link below.
Independent Contractor Compliance and Misclassification News Update