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ARTICLE · 14 DECEMBER 2015

The Many Potential Pitfalls Of Worker Misclassification

Worker classification is an area of major concern for domestic and international employers of all sizes.

United StatesEmployment and HR

Worker classification is an area of major concern for domestic and international employers of all sizes. Our Labor and Employment Group recently alerted you to significant regulatory action by the US Department of Labor relating to classification of workers as employees versus independent contractors. Those regulations, along with continuing action by the National Labor Relations Board and the IRS in this area, highlight that worker classification issues are being closely scrutinized today. 

These issues will continue to present employers with the difficult task of managing service relationships to meet their business needs while ensuring proper classification of their workers under the various legal regimes that apply. The effects of misclassification can reverberate throughout an employer's Human Resources and employee benefit plan functions. To ensure a comprehensive approach to maintaining compliance, an employer must identify and tackle all of the many issues

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