"AMERICA, HOME OF THE FREE, BECAUSE OF THE BRAVE" OFFERING FREE CONSULTATIONS 630-574-2288
Chat
Espanol

Archive for the ‘Employee Classification Act’ tag

Employee Misclassification: Employee or Independent Contractor?

May 13th, 2014 at 12:19 pm

employee misclassification, independent contractor, employee, employer, workers' compEmployee misclassification impacts workers’ compensation benefits. When an employer makes the effort to classify an individual as an independent contractor, the employer no longer retains the responsibility of covering workers’ compensation coverage for that person. Employee misclassification has become an increasing problem in the trucking industry and construction industry, not just in Illinois, but across the country, when employees might only learn too late that an employer has misclassified their role with the company.

If an employer forces you to change your worker status but keep the same job responsibilities, you could be exposed to major risks. Illinois legislators outlined the importance of properly classifying an employee in the Employee Classification Act of 2008, when misclassification of construction employees removed benefits for those workers. After that Act was implemented, the Department of Labor took on the responsibility for investigating claims of misclassification. Those employers caught trying to save money by listing construction or trucking employees as independent contractors can be subject to fines.

Under workers’ compensation guidelines, it must be clear that an employee and employer relationships exists. The term “employee” is rather broad, but the following factors are typically investigated in a case alleging misclassification:

  • How the worker was paid;
  • Who set the ground rules for the terms under which work was completed;
  • What skills were necessary to complete the work; and
  • Who was responsible for providing equipment, tools, and materials for the job.

Independent contractors will retain control over most of these factors and he or she will work off of a bid system, while an employee is governed by the employer’s decisions.

Being misclassified has dangerous ramifications for employees who believe they are protected under workers’ compensation. If you have been injured on the job, you need to contact an Illinois workers’ compensation attorney.

Back to Top Back to Top Back to Top