‘The Uber Effect’: How to Conduct Wage and Hour Audits to Determine Proper Classification of Contractors and Employees

Nowadays, full- and part-time employees aren’t the only types of workers. The “Uber” model of doing business has thrust independent contractors, dependent contractors, and freelancers into the legal spotlight. The ride-share service has asked a federal court to approve a $100 million settlement of class action lawsuits filed in California and Massachusetts by Uber drivers claiming they were employees. But, in Florida, a court ruled that Uber’s drivers were contractors not employees. The fact is whether workers are contractors or employees isn’t always cut and dried. And, given that the various federal and state court’s differ on what makes a “gig” worker an employee entitled to FLSA protections, now is prime time for an intensive workshop to examine:

  • The many factors you should consider for determining whether a worker should be classified as a contractor or your employee
  • The general difference between independent and general contractors
  • How to tell which multi-factor tests your company should use based on where you’re located and, importantly, where your employees are located
  • The process for conducting an effective audit to determine independent and dependent contractor misclassifications under the FLSA
  • The records and other information that should be considered when evaluating whether your company is at risk for costly lawsuits, DOL or IRS investigations, and subsequent penalties as a result of employment classifications
  • The latest court rulings on joint employment—and the likelihood that your organization could have legal liability if you use freelance workers supplied through a temporary or staffing agency