Employee Definition

News & Analysis as of

“Misclassification Mythbusters”: The Labor Department’s Latest Effort to Crack Down on Independent Contractor Misclassification

The U.S. Department of Labor has just released a dozen Q&A’s on the issue of IC misclassification in an online publication it calls “Misclassification Mythbusters.” The 12 IC misclassification “myths” that it seeks to debunk...more

Uber’s $100 Million Settlement Rejected by Judge; Independent Contractor Misclassification Lawsuit to Proceed

Earlier yesterday, Uber was dealt yet another setback in its efforts to settle the IC misclassification lawsuits brought against it by Uber drivers in California and Massachusetts. As readers of this legal blog will recall...more

WWE Misclassification Lawsuit Claims Performers’ Status as Independent Contractors Caused Long-Term Brain Injuries

Another major sports organization has been hit on the head with a concussion lawsuit. Most recently, former WWE performers claim that they suffered concussions and other head injuries that have resulted in long-term brain...more

DOL, Pa. DLI Partnership Aims to Curb Employee Misclassification

As part of its ongoing employee misclassification initiative, the U.S. Department of Labor (DOL) has announced a partnership with the Pennsylvania Department of Labor and Industry, Bureau of Labor Law Compliance (BLLC), to...more

July 2016 Independent Contractor Misclassification and Compliance News Update

Four of the five independent contractor (IC) misclassification cases reported below from July 2016 illustrate how companies continue to fail to structure, document, and implement a business’s IC relationships in a manner that...more

June 2016 Independent Contractor Misclassification and Compliance News Update

The poster children of IC misclassification cases dominated the news in June: Uber, Lyft, GrubHub, FedEx, an exotic dance club, and a trucking transport company. It was not a good month for any of them, yet as we have...more

$240 Million Settlement Closes Chapter on FedEx IC Misclassification Lawsuits

FedEx yesterday announced that it reached a settlement of its remaining independent contractor class action lawsuits in 20 states with its Ground Division drivers for $240 million, pending court approval. Coming on the heels...more

New Arizona Legislation May Affect the Interests of Arizona Businesses and Employers

Two new statutes, signed into law by Arizona Governor Doug Ducey this legislative session, attempt to set new standards on defining the independent contractor relationship and how wages are regulated. Below is a description...more

Sharing is caring: Are Uber, Lyft drivers independent contractors?

Whether workers are properly classified as employees or independent contractors has been an increasingly hot topic in discussions about the American labor market. Independent contractors are deemed to own their own business,...more

Uber Willing to Pay $100 Million to Keep Its Drivers Classified as Independent Contractors

Recently, Uber announced that it agreed to pay drivers in California and Massachusetts $100 million in an effort to ensure that the drivers are considered independent contractors, not employees. In just six years, Uber has...more

March 2016 Independent Contractor Misclassification and Compliance News Update

The cases reported in this update continue to reflect the fact that IC misclassification cases cut across virtually all industries. Below are IC misclassification cases from such diverse industries as insurance, ride-sharing,...more

Update – the RSRT's 2016 Order

Delayed start? Yesterday, the Full Bench of the Road Safety Remuneration Tribunal (RSRT) heard from various applicants who had applied for variations to and a stay of the Contractor Driver Minimum Payments and Road Safety...more

Sharing Economy Should Fear California's Ruling on Uber Driver

When a district court judge in San Francisco this summer certified a class of Uber Technologies Inc. drivers seeking compensation for tips, it may have been the most talked about legal story of the summer. Much less noticed,...more

Employee Misclassification Continues to Make News

Just last month, GrubHub, DoorDash, and Caviar were sued in San Francisco Superior Court in lawsuits similar to those pending cases against Uber and Lyft. These three new lawsuits ask the hot-button question: are...more

The North Carolina Employee Fair Classification Act

During the 2015 legislative session, North Carolina devoted a great deal of attention to the employment classifications of independent contractors. After working its way through several revisions in the House and Senate, The...more

Is the Six-Factor Test Still Good? Eleventh Circuit Endorses Modified Intern Test

A recent decision by the Eleventh Circuit Court of Appeals appears to reject the U.S. Department of Labor’s oft-recited six-factor test, which is used to determine whether interns are actually functioning as employees. In...more

Employee or Independent Contractor: Who is Best Suited to Provide a Meaningful Diagnosis Regarding Your Workers?

We previously wrote about the federal Department of Labor’s perspective on classifying employees and independent contractors here. However, many California employers are subject to the snare of multiple frameworks, all at the...more

Uber Class Certification Decision

In a closely-watched decision involving a challenge to the business model used by ride-hailing company Uber Technologies, Inc., a California federal judge agreed to certify a class of California drivers who claim to have been...more

Labor Day Hot Topics

Happy Labor Day 2015! In the spirit of the day, we thought it fitting to reflect on the three, hot topics that have been dominating the labor and employment news this summer, and which are certain to impact employers and...more

Employee or Independent Contractor? Uber Court Moves One Step Closer to Answering This Critical Question

Many of us perhaps have grown accustomed to riding Uber and enjoy the often significant discounts that their services may provide as compared to traditional taxi companies, and a recent case is certainly closely watched...more

Be Warned: Federal Guidance on Misclassification States that “Most Workers Are Employees,” Not Independent Contractors

On July 15, 2015, the United States Department of Labor (“DOL”) released official guidance addressing the misclassification of employees as independent contractors. The guidance, Administrator’s Interpretation No. 2015-1...more

Are Your Contractors Actually Employees? DOL Says Probably Yes

Last month, the U.S. Department of Labor (USDOL) issued an Administrator's Interpretation aimed at addressing what it characterizes as the “problematic trend” of employers misclassifying workers as independent contractors...more

You Have Class!, says Judge to Uber Plaintiffs

A handful of Uber drivers sued the ride-share giant in 2013 alleging that they were functioning as company employees but improperly treated and underpaid as independent contractors. They claimed that Uber had been...more

Red Flags for Homebuilders Related to DOL's Latest Guidance on Independent Contractors

On July 15, 2015, the U.S. Department of Labor (DOL) issued an “Administrator’s Interpretation” (AI 2015-1) providing guidance on whether workers are employees or independent contractors under the Fair Labor Standards Act...more

California Federal Court Certifies Class of Uber Drivers Seeking Unpaid Tips

On Tuesday, September 1, 2015, Judge Edward M. Chen certified a class of Uber drivers seeking to collect tips they claim they were cheated out of by the ridesharing company. These drivers also allege that they have been...more

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