
You may not think independent contractor misclassification is a big deal, but in the United States, fraudulent classification of employees as "independent contractors" is on the rise. One of the most common tactics employers use to save money and avoid paying overtime and federal taxes is to label their employees "independent contractors."
Employee versus Independent Contractor
Regular employees are protected by the federal Fair Labor Standards Act and are eligible for employee labor protections and overtime wages. Regular employees work according to a schedule required by an employer and their job performance is also directly supervised. What is the FLSA?
However, many employees nationwide work under these conditions daily, but are misclassified as independent contractors. This costs them thousands of dollars every year and also strips them of their employee rights under the Fair Labor Standards Act.
Independent contractors are not protected by the federal wage laws that apply to regular employees. Independent contractors are not eligible for overtime pay, worker's compensation and unemployment insurance. So how is overtime pay for independent contractors calculated then?
If you have been misclassified under the title "independent contractor," order a FREE copy of our overtime and wage guide to learn your options to fight independent contractor misclassification & collect unpaid overtime.
Video: Are Independent contractors owed overtime pay?
What does the law say about independent contractors?
In general, independent contractors have direct control over their schedules, number of hours worked, the type of jobs they accept, and their job performance. Many independent contractors are also sole proprietors, which means they own a business and have responsibility for all company expenses.
The following occupations frequently use the independent contractor arrangement:
General contractor - construction
Lawn care workers
Consultant
Courier
Personal Trainers
Tutors
Many employees are misclassified as independent contractors under the wage laws. We have helped many workers in every industry, including independent contractors, to recover the back wages owed to them, and to collect on unpaid overtime. Read our Case Results to see workers we have helped.
Workers We Helped
• Janitors
• Call Center Employees
• Waiters and Kitchen Staff
• Paralegals
• Metal Factory Workers
• Packaging Plant Workers
• HVAC Workers
• Emergency Medical Technicians
• Offshore Oil Platform Workers
• Police Officer
• Translator
If your employer misclassifies you as an independent contractor, but you feel you are working as an employee, learn your FLSA rights by ordering a free copy of our wage and overtime guide today. You can also fill out our confidential contact form to have an attorney review your case.
Why does my employer say that it’s better for me to work as an independent contractor?
My employer has asked me to sign an independent contractor agreement but I feel that I am an employee. What rights do I have?
What is the biggest warning sign that I’ve been misclassified as an independent contractor?
I am a construction worker who is normally paid by the hour but was hired as an independent contractor on a new job site. My old foreman keeps telling me when I can and can’t leave for my lunch break. Is this right?
Contact us today for a free, no obligation consultation about your employment law needs.
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Why does my employer say that it’s better for me to work as an independent contractor?
My employer has asked me to sign an independent contractor agreement but I feel that I am an employee. What rights do I have?