Massachusetts has one of the most employee-friendly independent contractor laws in the country. The Massachusetts law makes it very difficult to establish independent contractor status. Violations of this law result in significant damages including treble damages and attorney’s fees.
Contractions/Employees: If you are improperly classified as an independent contractor (ie.. paid on a 1099 form) you could be entitled to payment for overtime wages, lost wages and benefits which you are excluded from based on your misclassification. Some factors to consider in determining whether you are improperly classified:
- Terms of work and the manner of your work is controlled by the employer;
- You perform work typically performed by other employees;
- You are included in company events and trainings typically attended to by employees;
- You are compensated based on your performance level;
- You submit your hours like all other employees and are not required to provide an invoice for your services;
- You are required to work certain hours;
- You use the employer’s tool and technology to perform your work.
- If you are unsure if you are properly classified, contact us to assist you in determining if you should be entitled to damages for misclassification.
For employers – it is important to properly classify employees. Gov. Patrick is stepping up enforcement of the Independent Contractor law for the following reasons: 1) to prevent worker exploitation; 2) to stop the loss of state payroll tax dollars as a result of fewer employees being reported; and 3) to ensure workers’ compensation insurance coverage for misclassified employees.
What can you do as an employer to avoid possible liability? Contact us to audit your workforce classifications and assist you in making sure you are treating independent contractors properly to avoid possible civil liability.
