Corporate
Mar. 18, 2011
The Franchising Solution to the Employee-Independent Contractor Problem
Francising may be the key that unlocks a company's ability to classify some employees as independent contractors. By David Gurnick of Lewitt Hackman, Shapiro, Marshall & Harlan.
Proper classification of workers as employees or independent contractors is frequently litigated. Many employers want to classify workers as independent contractors. This saves employment taxes, workers compensation premiums and employee benefits. But workers treated as independent contractors often seek to be reclassified as employees in order to gain wages, pay for overtime and lost meal and rest breaks, workers compensation, large penalty asse...
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