Monday, February 15, 2010

Trucking company guilty of denying employees' rights by misclassifying them as "independent contractors"

A Los Angeles-based trucking company has been found liable for misclassifying its workers as independent contractors rather than employees, reports the Mercury News. The company was ordered to stop the practice and pay a civil fine.

The practice of classifying ordinary employees as independent contractors is not uncommon among modern corporations. By doing so, employers can avoid expenses such as social security and workers' compensation, which are designed to protect employees who are injured on the job and can no longer work. It is also commonly used by employers in an attempt to avoid complying with the requirements of the Fair Labor Standards Act, commonly known as the "Wage and Hours Act." This federal law mandates that employers properly compensate employees for overtime work. However, employers often fail to comply with these rules, and classifying workers wrongly as independent contractors is one such method used to do so. Other methods include requiring employees to work at their desks during lunch and working "off the clock" by having them clock in late or clock out early.

If you believe that you have been denied overtime pay for work you have done, call the attorneys at Turkheimer & Hadden at 404-890-7200.

Turkheimer & Hadden, LLC

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