Employee Definition

News & Analysis as of

November 2016 Independent Contractor Misclassification and Compliance News Update

Our news update for last month highlights the fact that IC misclassification lawsuits are happening across the country and in virtually every industry, both in the on-demand economy and in more traditional business sectors....more

Student Athletes Are Not Employees, Seventh Circuit Rules

Yesterday, the Seventh Circuit released a decision broadly ruling that student-athletes are not employees for purposes of the Fair Labor Standards Act (FLSA). In Berger v. National Collegiate Athletic Association, two women...more

Is the Owner-Manager of your Vendor your “Employee?” - Expansion of Coverage: North Carolina Crime Coverage Part: Embezzlement Is...

On November 14, 2014, the Eastern District of North Carolina entered summary judgment in favor of an insured seeking coverage for embezzlement for actions by owners of a vendor. Colony Tire Corp. v. Fed. Ins. Co., No. 2:15 CV...more

Maine Workers’ Comp Alert: Appellate Division Addresses Distinction Between Employees Covered Under the Act and Volunteers

In Huff v. Regional Transportation Program the Workers’ Compensation Board Appellate Division affirmed a decision finding that an individual was not an employee but, rather, a volunteer. The individual was a driver for a...more

Independent Contractor vs. Employee: What Employers Need to Know

If you’re an employer, given the daily balance of juggling business goals, budget concerns and employee harmony, it might seem that you spend most days trying to pull the proverbial rabbit out of your hat. But if your...more

October 2016 Independent Contractor Misclassification and Compliance News Update

Our update for this past month is noteworthy for the fact that we report below on IC misclassification lawsuits plaguing some of the largest and most recognizable companies in the U.S. (like Uber, Amazon, and FedEx) as well...more

Uber and the Gig Economy – is the law keeping up?

After a Preliminary Hearing spanning seven days (including reading the five volume bundle and time for deliberation), an Employment Tribunal has handed down its much anticipated ruling that Uber drivers are workers rather...more

UK Employment Tribunal Decides That Uber Drivers Are Not Self-Employed Contractors

In a decision that may have implications for other companies in the “gig economy,” an employment tribunal in the United Kingdom has ruled that drivers who provide services to Uber, a ride-sharing service, are not...more

Independent Medical Staff Denied Title VII Protection

It has not been unusual for employed physicians to seek the protection provided to independent medical staff members through the due process procedures provided by medical staff by-laws. The case of Levitin and Chicago...more

Failing to Properly Classify Workers as Employees vs Independent Contractors: Pay Me Now or Pay Me Later - Common Legal Mistakes...

Pay Me Now or Pay Me Later is a series of short tips on common legal mistakes small business owners make. Tip # 5 Properly Classify Workers as Employees versus Independent Contractors...more

New York’s Highest Court Issues IC-Friendly Ruling, Holding That Certain Yoga Teachers Are Valid Independent Contractors

Earlier today, October 25, 2016, the New York Court of Appeals issued an important decision on the issue of independent contractor status. The Court held that a group of yoga instructors working at a New York City yoga...more

Self-Inflicted IC Misclassification Wounds: How Did FedEx Bludgeon Itself Into Pay Nearing $500 Million to Settle Claims That It...

FedEx’s costs due to IC misclassification are approaching $500 million over the past year as a result of its inability to draft in a valid manner its IC agreement and internal policies governing Ground Division drivers. Last...more

Student Teaching Assistant Handbooks Unlawful?

Two years ago we reported on the case before the National Labor Relations Board (the “Board”) related to the Northwestern University’s scholarship football players seeking the right to unionize. The Regional Director in that...more

Uber and IC Misclassification in New York: The Other Shoe May Be Dropping

The New York Times today reported that the New York State Department of Labor has found two Uber drivers as eligible for unemployment benefits after having rejected the company’s argument that the drivers are independent...more

New Studies Provide Insight into the On-Demand Economy

Seems you can’t swing a cat without hitting a new study aimed at better understanding the gig economy and gig workers. Just within the past couple of weeks, two important studies were released that provide in-depth data about...more

Be Aware Belgium - September 2016

Under the principle of proportionality, can a serious cause be dismissed considering that the sanction resulting from the serious cause is unreasonable? In a judgment dated 6 June 2016 (S.15.0067. F/1, available through...more

Fifth Circuit Holds Non-Employee Agent Is Protected by False Claims Act’s Retaliation Provision

On March 9, 2016, the Fifth Circuit issued an important ruling addressing the type of relationship that is required between a relator and a defendant for the relator to have a right to bring a retaliation claim against the...more

September 2016 Independent Contractor Misclassification and Compliance News Update

The past month’s judicial and administrative activity in the area of IC misclassification reflects the wide range of industries facing these types of claims: communications; cleaning services; transportation and delivery...more

Substance over form? Defining the modern employment relationship

The British Columbia Supreme Court recently applied the “modern approach” to determining whether an employment relationship exists at law in TCF Ventures Corp. v The Cambie Malone’s Corporation, 2016 BCSC 1521....more

Independent Contractors or Employees: Why It Is so Important to Use the Proper Classification for the People that Work for You

Over the past few years, there has been a concerted effort on the part of the US Department of Labor, as well as various state attorneys general, to target businesses that misclassify workers as independent contractors when...more

Lessons Unlearned: Franchise and Independent Contractor Agreements Can Be Kiss of Death

The Third Circuit’s decision is a pointed reminder to franchisors, as well as businesses that use independent contractors, that the form of their agreements can either serve their legal interests or harm them in employee...more

Oklahoma Partners With U.S. DOL to Investigate Worker Misclassification

On September 13, 2016, Oklahoma became the 35th state to enter into a partnership with the U.S. Department of Labor (U.S. DOL) to share information and conduct joint investigations regarding independent contractor...more

North Carolina and Nebraska Join 32 Other States In Agreeing To Partner With U.S. DOL to Investigate Worker Misclassification

Just last month we reported that Pennsylvania had entered into a memorandum of understanding (“MOU”) with the U.S. Department of Labor (“U.S. DOL”), agreeing to share information and conduct joint investigations regarding...more

You Can’t Eat Your Cake And Have Your PAGA Too

Seyfarth Synopsis: When an allegedly aggrieved employee attempts both to seek compensatory relief as an individual and to impose penalties as a proxy for the California Labor Commissioner under the Private Attorneys General...more

NLRB General Counsel Seeks To Regulate and Target Employers with Independent Contractors

Seyfarth Synopsis: NLRB General Counsel releases an Advice Memorandum finding that the misclassification of independent contractors amounts to a standalone violation of Section 8(a)(1) of the NLRA....more

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