Blog About: Obama's Message to Employers: You Will Pay for Misclassifying Independent Contractors.

Related Articles

On December 19, 2009, President Obama signed into law the Fiscal Year 2010 Department of Defense Appropriations Act (the "Act"). Embedded in this $636 billion spending measure is a provision that prohibits federal contractors receiving Defense Department funds for contracts in excess of $1,000,000 from requiring their employees or independent contractors to arbitrate certain disputes, including claims under Title VII of the Civil Rights Act of 1964. Such federal contractors also will be required to ...

Employers' use of independent contractors instead of traditional employees has steadily increased over the past 20 years. Some employers feel they can save money by using independent contractors instead of fulltime employees. The contractors themselves may value the autonomy and economic perks that independent contractor status provides. Also, the specific skills and knowledge that independent contractors can bring to a short-term project can be critical ¯ and therefore worth a premium, albeit one that isn't sustainable in the long term. But the use of independent contractors isn't as perfect as these mutually beneficial points may make it seem.

On January 6, 2010, the US Citizenship and Immigration Services issued interpretive guidance regarding the employer-employee relationship and how that must be documented in H-1 cases. The net effect of the CIS memorandum is to deny H-1 status to independent contractors and self-employed individuals, as well as limit the ability of staffing companies and PEO's to use H-1 visas to place workers at client job sites.

Federal contractors and subcontractors are now required to post information in the workplace regarding workers' rights under the National Labor Relations Act (NLRA), according to Executive Order (EO) 13496 issued by President Obama in January 2009, and implemented into a Final Rule by the Office of Labor-Management Standards (OLMS) on May 20, 2010. The EO demands all federal contractors and subcontractors meet two requirements

The OFCCP has sent another round of Corporate Scheduling Announcement Letters (CSALs) for Fiscal Year 2010. The Agency mailed the “Spring 2010” CSALs to contractors with more than one establishment on the OFCCP’s FY 2010 audit scheduling list. The CSALs alerts contractors which of their locations are slated for audit in FY 2010.

Share:

Latest Articles