Small Business Myth
Dec 12, 2023Employment Law Myth: My small business cannot afford a full time employee, so I can just hire independent contractors.
Fact: Businesses and individuals cannot choose a label of “employee” or “independent contractor” based on preference. The classification of the worker is a legal determination, and is based on several factors, most of which revolve around control.
Does the business tell the worker how to perform the service and how to work with its clients?
Does the worker use the company equipment and abide by the company policies?
If the answer to the above (and other questions) is yes, the business might have an employee and not an independent contractor.
Why Does It Matter?
Misclassification is a huge problem for businesses. Employment laws apply to employees, so if the business “think” it has an independent contractor (because the independent contractor agreement says so) but the law determines it’s actually an employee, then there are employment laws that must be followed, that the business may be violating.
If you are an executive, owner or CEO of a company in Florida with employees or independent contractors, make sure you and your management team knows and understands the employment laws.
Make sure your workers are properly classified, so you can pay them properly, have the proper documentation, reduce risks of lawsuits and operate the business in a legal manner.
We offer HR and employment law consulting to Florida businesses so they can have the peace of mind to know they are operating both effectively and legally.
Contact us for more information to make sure your company is not violating the employment laws at The Wannos Law Firm.
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Have we met? I’m a Florida employment lawyer & HR Consultant, workplace investigator and workplace trainer on HR and employment laws. I help my clients navigate tricky workplace situations and comply with employment laws through legal advice, customized trainings and preparation of policies and legal documents.
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This is not legal advice. All identifying information has been redacted.
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