Have I Been Misclassified At Work?

When a person is hired at a new job, they are hired either as an independent contractor or as a full-fledged employee. Each classification of worker is entitled to certain benefits while employed by the company, and most of the time, employers will give both employees and independent contractors what they are owed. However, sometimes a worker will (intentionally or unintentionally) be misclassified as the wrong type – which can cost them money and benefits. If you fear you have been misclassified, you have the right to fight back.

Why Misclassify? 

Sometimes, mistakes simply happen, and an employee is classified as an independent contractor (or vice versa). Unintentional errors like this are generally not penalized by the state or federal government, as long as it can be shown that it actually was a mistake, and the error is quickly corrected (and any lost benefits or pay granted to the worker). However, some employers will choose to misclassify employees, regardless of the harm it may cause them.

Employers have quite a lot of overhead costs, including workers’ compensation insurance premiums, tax withholding, Social Security, and unemployment insurance. In some situations, misclassifying more workers as independent contractors can save employers money simply because most independent contractors are not entitled to things like unemployment insurance (though in New York, certain independent contractors can claim benefits under the Freelance Isn’t Free Act, passed in summer 2022). However, this constitutes fraud under both state and federal law.

What Are My Options?

If you believe that you have been misclassified by your employer, and you are located in New York, the best thing to begin with is to report the fraud to the New York Joint Enforcement Task Force. They will allow you to remain anonymous while providing the information the task force will need to investigate your allegations. There may be specific evidence of fraud, or it may be that you are simply able to establish that your classification is incorrect.

In addition to any concrete evidence, the main factor in determining an employee’s proper classification will be the amount of control – behavioral and financial, primarily – that the employer has over the employee and their work. Independent contractors generally have a much higher degree of autonomy than standard employees, While each case is different, there are general trends that the Task Force can draw upon.

Contact A New York Employment Law Attorney

Misclassification can deny a worker the benefits to which they are entitled. If this has happened to you, you deserve to get what you are owed. A New York City employment misclassification attorney from Mansell Law, LLC can help guide you through the legal process and give you the best chance to recover your benefits. Contact us today at (646) 921-8900 for a free consultation.

Source:

niemanlab.org/2022/06/the-freelance-isnt-free-act-passes-to-protect-workers-contracted-by-new-york-companies-even-if-they-dont-live-in-the-state/