http://www.4laborlaw.com Employment Law by Charles J. Cochran, Jr., Esq. Thu, 11 Mar 2010 16:18:49 +0000 hourly 1 http://wordpress.org/?v=3.0 http://www.4laborlaw.com/employee-or-independant-contractor/comment-page-1/#comment-3658 Charles J. Cochran, Jr. Thu, 11 Mar 2010 16:18:49 +0000 http://www.cjcochran.net/?p=130#comment-3658 Kris: From recent activity in the news it looks like the government will be looking closer at these classifications in the future. President Obama has stated that a substantial sum of money is being earmarked just to find and remedy misclassified Independent Contractors. Senator Kerry has proposed legislation that will put stronger impetus on Employers to properly classify their workers. While the driver for this closer review seems to be lost tax revenue I suppose that whatever the reason our country will be seeing a change in enforcement of the proper classification of workers. The upside to having tax revenue as a reason for tightening up classification is there is a need for the increased revenue and there should be a benefit in enforcement so this process will be a serious effort by government. Whether stronger enforcement will benefit workers still remains to be seen because of the ripple effect of any change. As you indicated "outsourcing" is becoming, or has become, a significant consideration for Employers. With this new government direction of increased enforcement and stricter review of the proper classification of workers outsourcing may become even more viable with employers where the type of employment permits it. If this policy can be implemented without being particularly over reaching then this could be a positive result. However, if enforcement eliminates the Independent Contractor classification except in absolutely clear circumstances then the impact could be very undesirable. I am in the process of reviewing this scenario for a new business right now and the current climate regarding classification is of great concern. Those employers who have classified their employees as independent contractors should all go back and review this determination again because the stakes in misclassification could be going up. I have yet to review Senator Kerry's proposed legislation but if penalties and other costs involved with misclassification increase and defenses to misclassification become less available then employer review should happen sooner rather than later. Those employers who have made a decision to classify their workers as Independent Contractors on border line distinctions cannot simply act like business is usual. Let us hope that the question of "fairness" and greater clarity in the rules used to make the classification can be legislated into this matter and if not that enforcement will at least have some flexibility. The practical impact of stricter enforcment will be increased employer costs which will probably be passed on to the consumer to some extent, as well as, impacting income to the employee. I really hope that this new attitude will produce a "win-win" situation for all but only time will tell. Kris: From recent activity in the news it looks like the government will be looking closer at these classifications in the future. President Obama has stated that a substantial sum of money is being earmarked just to find and remedy misclassified Independent Contractors. Senator Kerry has proposed legislation that will put stronger impetus on Employers to properly classify their workers. While the driver for this closer review seems to be lost tax revenue I suppose that whatever the reason our country will be seeing a change in enforcement of the proper classification of workers. The upside to having tax revenue as a reason for tightening up classification is there is a need for the increased revenue and there should be a benefit in enforcement so this process will be a serious effort by government. Whether stronger enforcement will benefit workers still remains to be seen because of the ripple effect of any change. As you indicated “outsourcing” is becoming, or has become, a significant consideration for Employers. With this new government direction of increased enforcement and stricter review of the proper classification of workers outsourcing may become even more viable with employers where the type of employment permits it. If this policy can be implemented without being particularly over reaching then this could be a positive result. However, if enforcement eliminates the Independent Contractor classification except in absolutely clear circumstances then the impact could be very undesirable. I am in the process of reviewing this scenario for a new business right now and the current climate regarding classification is of great concern. Those employers who have classified their employees as independent contractors should all go back and review this determination again because the stakes in misclassification could be going up. I have yet to review Senator Kerry’s proposed legislation but if penalties and other costs involved with misclassification increase and defenses to misclassification become less available then employer review should happen sooner rather than later. Those employers who have made a decision to classify their workers as Independent Contractors on border line distinctions cannot simply act like business is usual. Let us hope that the question of “fairness” and greater clarity in the rules used to make the classification can be legislated into this matter and if not that enforcement will at least have some flexibility. The practical impact of stricter enforcment will be increased employer costs which will probably be passed on to the consumer to some extent, as well as, impacting income to the employee. I really hope that this new attitude will produce a “win-win” situation for all but only time will tell.

]]> http://www.4laborlaw.com/employee-or-independant-contractor/comment-page-1/#comment-3657 KrisBall Wed, 10 Mar 2010 09:01:01 +0000 http://www.cjcochran.net/?p=130#comment-3657 The way I see it companies are getting into the bigger picture of the outsourcing field especially now that global online resources are available. It is such a sad note that companies would only think of in terms of what strategy gives them the better edge. I totally agree with the author that instead of focusing on the classification, the government can actually do a better job of making it a win-win situation for both sides. Otherwise, we might see a spiking unemployment rate in the years to come. The way I see it companies are getting into the bigger picture of the outsourcing field especially now that global online resources are available. It is such a sad note that companies would only think of in terms of what strategy gives them the better edge. I totally agree with the author that instead of focusing on the classification, the government can actually do a better job of making it a win-win situation for both sides. Otherwise, we might see a spiking unemployment rate in the years to come.

]]> http://www.4laborlaw.com/a-hybrid-of-workers-compensation-and-personal-injury/comment-page-1/#comment-3648 seattle personal injury attorney Fri, 04 Dec 2009 20:17:19 +0000 http://www.4laborlaw.com/?p=240#comment-3648 Thanks for the break down of how personal injury case damages are made. I was always curious about that. Thanks for the break down of how personal injury case damages are made. I was always curious about that.

]]> http://www.4laborlaw.com/are-you-leaving-money-on-the-table-in-your-ohio-workers-compensation-claim/comment-page-1/#comment-3645 Charles J. Cochran, Jr. Fri, 06 Nov 2009 04:00:29 +0000 http://www.4laborlaw.com/?p=216#comment-3645 Donald: I sent you a private E-Mail in regard to your comment. Charles J. Cochran, Jr., Esq. Donald: I sent you a private E-Mail in regard to your comment. Charles J. Cochran, Jr., Esq.

]]> http://www.4laborlaw.com/are-you-leaving-money-on-the-table-in-your-ohio-workers-compensation-claim/comment-page-1/#comment-3500 scranton law firms Wed, 14 Oct 2009 14:49:15 +0000 http://www.4laborlaw.com/?p=216#comment-3500 Definitely one of the better posts I've read in a while. Thanks! Definitely one of the better posts I’ve read in a while. Thanks!

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