Does misclassification of employees as independent contractors increase during a recession? Some experts seem to think so. Several states and the federal government are reacting to this crisis with increased enforcement and higher penalties against employers who violate these statutes.
Speaking to SHRM, the Society for Human Resource Management, attorney Frank Connolly said,” When it comes to a lot of start-ups or small businesses that don’t have a lot of assets, a lot of it is naïveté and a lot of it is convenience. I don’t have the money to pay a lot of people a lot of cash. I can avoid it by calling these people independent contractors.” Connolly, with the firm of Jackson Lewis in Washington, D.C. adds, “These employers probably don’t realize that they are violating the law.”
In most cases, if the employer controls when, where or (more…)
The California agency responsible for investigating discrimination complaints recently announced that efforts will be focused on class action suits against large employers with a pattern or practice of illegal discrimination. That is welcome news to many smaller employers with strong anti-discrimination policies in place.
The California Department of Fair Employment and Housing or DFEH announced that it will pursue large cases on behalf of a group of class of workers. The agency’s Special Investigations Unit or SIU will conduct the investigations.
This is important news for smaller employers because it means that the agency will no longer investigate every complaint in the order in which it is received. Instead, complaints will be graded based on their merits. For example, a large company that has several claims that appear to be based in fact and indicate a pattern of discrimination will be investigated first. A small business (more…)
The Internal Revenue Service issued guidelines for the small business health care tax credit on May 17, 2010. Up to 4 million small businesses nationwide could qualify under the plan under the Patient Protection and Affordable Care Act.
The tax credit begins immediately, and small businesses who are eligible can claim the credit on the 2010 tax return filed in early 2011.
In order to qualify for the small business health reform tax credit, businesses must have fewer than 25 employees and the employees must have an average salary less than $50,000 per year. Small employers can take a tax credit of up to 35% if the group insurance premiums paid by the employer. This means for every $100 the employer pays in healthcare premiums, (more…)
The Disability Nondiscrimination Law Advisor helps employers navigate a complex web of interrelated laws and regulations including ADA, ADAAA, workers’ compensation laws, and other federal laws. It also enables federal contractors to search for regulations and statutes relevant to their situation.
“We made it easier for employers of all sizes to access the talents of the 36 million Americans with disabilities,” said Assistant Secretary of Labor for Disability Employment Policy Kathleen Martinez. “By providing this interactive and easy-to-use online tool, workers and employers can readily access and understand their rights and responsibilities under federal disability nondiscrimination laws.”
The online tool provides employers with up-to-date information on a variety of regulations and laws (more…)
Employers nationwide are closely watching the first test to GINA, the federal Genetic Information Nondiscrimination Act. In that case, Pamela Fink says she was fired after disclosing to the Connecticut employer that she had the gene for breast cancer, and would have a double mastectomy as a preventative, with her doctor’s consent.
Fink has filed a complaint against former employer MXenergy with the Equal Employment Opportunity Commission, or EEOC alleging that the employer violated GINA as well as the ADA, the Americans with Disabilities Act. In addition, Fink (more…)