What to Do if Misclassified as an Independent Contractor

If you believe that you have been misclassified as an independent contractor, you could have legal recourse to take your employer to court.

Many rights are afforded to employees and those who have been misclassified as an independent contractor when they should have been set up and paid as employees are eligible to hold the accused employer accountable. It is very important for a person in this situation to understand their rights and responsibilities prior to taking action.

What Is the Cost of Being Misclassified as An Independent Contractor?

If you have been misclassified as an independent contractor, you may be giving up some of your rights and may not be able to recoup the compensation that you would have otherwise been owed.

Some of the most common ways that this shows up is that misclassified workers have little to none of the workplace rights typically afforded to employees, they are ineligible for unemployment benefits, they pay all of their Medicare and Social Security taxes out of their own pocket, and they are ineligible for workers’ compensation benefits, according to the IRS.

Why Would an Employer Misclassify Me as An Independent Contractor?

Employers stand to gain financially in situations working with independent contractors. However, it is still illegal for an employer to purposefully misclassify someone as an independent contractor for the purposes of reaping the financial rewards.

Unfortunately, many employers are engaged in this process of trying to save money by classifying workers as independent contractors even though the structure of the working arrangement means these people should have been paid as employees.

What Should I Do First If I Think I Have Been Misclassified?

The first step many employees take is to communicate with their employer about their concerns. An employer might be able to review your individual classification status and identify whether or not you should have been reclassified as an employee.

This is your opportunity to attempt to get an explanation as to why you were misclassified. However, for many workers, this doesn’t stop here. You could have been entitled to benefits that were not paid out to you as a result of being misclassified as an independent contractor. This makes it all the more important to investigate your own legal rights.

Who Is Most Likely to Be Misclassified?

A new California Supreme Court ruling affects who might qualify as an independent contractor in California, making it more difficult for companies to try to state that a worker is a contractor rather than employee. This ruling is most likely to have an impact on skilled contract workers, delivery drivers, and ride sharing drivers.

What Benefits Would I Obtain by Being Classified as An Employee?

If you are classified as an employee rather than an independent contractor you have to be paid overtime, minimum wage, be provided meal and rest breaks, and being reimbursed for expenses. If your employer has already misclassified you and you believe you are entitled to compensation, Top Class Actions can help you speak to an experienced and knowledgeable attorney today.

Join a Free Independent Contractor Class Action Lawsuit Investigation

Even if you are classified as an independent contractor, you may be entitled to minimum wage, overtime pay, reimbursement for expenses, and meal and rest breaks, among other employee benefits.

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This article is not legal advice. It is presented 
for informational purposes only.