Independent Contractors
Lemons are great in lemonade, but they might not be your first choice in a gin and tonic. If professional employer organizations (PEOs) and employers of record (EORs) were both garnishes, like lemons and limes, they'd belong in different drinks. Although they seem similar, PEOs and EORs provide different services. An EOR puts a portion…
Read the full storyDespite the fact that using contingent workers provides many benefits for your company, the issue of co-employment often arises. Although the staffing firm is typically considered the primary employer, co-employment issues come up when the client company exerts more behavioral and financial control over the contingent worker. Learn how to avoid taking on characteristics of…
Read the full storyAs owner of a company that utilizes independent contractors, it’s imperative you look closely at their signed agreements and at-work practices to ensure those workers aren’t categorized as your employees under Internal Revenue Service (IRS) rules. Learn how to avoid misclassification penalties and lawsuits by following these simple guidelines. Audit Worker Practices Have an attorney…
Read the full storyAs the U.S. economy continues to reach pre-recession levels, the general workforce is becoming more diverse and unique. Many of these changes are driven by companies who are hiring fewer people into full-time, permanent positions and instead are leaning more heavily on contract workers. Of course, this arrangement works out well for both parties.Contractors enjoy the freedom of…
Read the full storyCalifornia recently joined 11 other states that are working with the U.S. Department of Labor (DOL) to reduce the number of employees who are misclassified as contract workers. In 2011, the DOL collected $5 million in back wages for minimum wage and overtime violations because employees had illegally been treated as independent contractors. Colorado, Connecticut,…
Read the full storyA mutual agreement for services rendered between a contract worker and a business tends to be win-win for both sides. The company avoids the expense of paying for employees' taxes and benefits, while the freelancer has the freedom of working whenever and wherever he or she prefers. This system especially beneficial for small business owners…
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