California Judge Rules For Employees

A judge in a California labor dispute ruled recently that Internet technology companies which are part of the new independent contractor boom that hire workers in California should be held to the same employment standards that traditional employers are. The ruling by the judge is currently being appealed by the company that was ruled against. Traditional employers have historically been expected to pay for certain things for their employees as part of the work relationship. If you feel like you have been treated like an employee but have been paid as a contractor, then you may have a claim. Please contact us using the form on this page or call us at 213-212-2202. You may be part of a class action lawsuit.

Background

Labor and employment laws require that companies must pay employment-related taxes, withhold income taxes from their employees wages and carry workers’ compensation insurance. If a company isn’t doing these things because it claims that some or all of its workers are independent contractors, the company can be subject to fines from government and lawsuits. When a company does not pay the legally required employment taxes or carry the legally required insurance it may be guilty of illegally misclassifying workers. Some industries are reportedly notorious for illegally misclassifying workers to avoid having to pay taxes and labor costs required when they employ people. It is reported that the real estate, rental and leasing industries have traditionally been the biggest offenders.
With the incredible growth in the Internet-based independent contractor field, many people may have already suffered illegal treatment by employers. Companies that break employment laws in this way can be subject to tax penalties and having to back-pay premiums owed for workers’ compensation insurance. Even worse, if a worker suffers an injury on the job and the company doesn’t have workers’ compensation insurance companies can face problems if that worker was misclassified as an independent contractor. In a case like this, a business may be forced by a court to pay directly for the worker’s medical and missed work expenses. Companies can be sued by workers who were hired as independent contractors but find that the work involved is much more like being an actual employee. If this has happened to you or someone you know, there may be grounds for legal action. Please contact us using the form on this page or call us at 213-212-2202.

Potentially Illegal Practices

It is reported that many people who have worked for companies in California that provide the online or mobile phone application method for consumers to contact them and independent contractors for taxi services and grocery delivery services may have a legal basis to sue for employee status. If a person employed as an independent contractor by companies like this is provided company equipment like a mobile phone for use on the job, the person may be considered an employee under California labor law. It is reported that when companies ask independent contractors to keep and wear certain uniforms or maintain certain standards as a condition of contracting with that company, the worker may technically be an employee of that company.

Potential Class Action

The technology companies that operate in California using independent contractors to do their business are reportedly making millions of dollars per month. These companies may be forced by courts to pay current and former workers that are or were classified by the companies as independent contractors monetary damages and provide other compensation. If you or anyone you know, has experienced this kind of misclassification by a company that depends on independent contractor workers to do its business, you may have a claim or be part of a class action lawsuit. Please contact us using the form on this page or call us at 213-212-2202.