A Sustainable Workforce Starts With You

Worker Misclassification

Payroll fraud (also called worker misclassification and workplace fraud) is the illegal practice of designating an employee as a "1099 worker" or an independent contractor. Unscrupulous employers do this to avoid paying payroll taxes, unemployment tax, or workers’ compensation insurance and are therefore able to submit lower bids for projects, undercutting responsible contractors. Several states have already passed laws to penalize those who cheat workers and taxing agencies in this way, and two bills are currently being considered which would provide federal legislation to end this practice and that of wage theft. They are The Fair Playing Field Act, introduced by Senator Kerry and a number of co-sponsors and The Employee Misclassification Prevention Act.

Six men are accused of using shell companies to hide the number of workers they employed in order to avoid paying millions of dollars of workers’ comp insurance and federal...
The News and Observer in Raleigh offers an in-depth look at two problems: lack of workers' compensation and worker misclassification.
A Pennsylvania owner of a drywall and acoustical ceilings company faces a possible 21 years in prison for misclassification violations and perjury, if convicted.
The U.S. Department of Labor (U.S. DOL) and the Vermont Department of Labor signed an agreement this summer to protect employees and law-abiding businesses by reducing the...
The National Football League faces a growing backlash over the way cheerleaders are compensated and the reason for it will sound very familiar to regular readers of Construction...
The construction industry has fought the issue of independent contractors with no benefits or employees with full benefits for the last decade. Now the startup Uber is in the...
Last May, the US Department of Labor signed a three-year agreement with the Rhode Island Department of Labor and Training (DLT) to battle worker misclassification by establishing...
Today is a day of rest for those who toil in the hot sun or blistering cold every day to build Texas and the rest of America.  Millions regularly wake up before 5 am, drink...
More than two dozen states have now agreed to cooperate closely with the federal government to crack down on what’s known as worker misclassification. Alaska is the latest state...