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Category Archives: Misclassification

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Are Telehealth Physicians Being Misclassified as Independent Contractors? Key Warning Signs for Virtual Care Providers

Expansion of Telehealth Services and Worker Misclassification Risks Since the COVID-19 pandemic, telehealth services expanded nationwide, allowing patients to receive care at reduced costs and allowing providers the ability to use digital platforms to efficiently address the needs of more patients. The rise of telehealth has transformed healthcare delivery, but it has also introduced new risks of worker misclassification. Many telehealth physicians may be improperly classified as independent contractors when…

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New Portable Benefits Bill Aims to Help Gig Workers, But Worker Classification Still Matters 

Senator Bill Cassidy (R- IL) uncovered the Unlocking Benefits for Independent Workers Act to prevent gig worker misclassification. Under this legislation, companies will be able to voluntarily offer portable benefits without employing gig workers and having to pay for unemployment insurance, overtime pay, and workers’ compensation.   For some time, there has been a disagreement between labor advocates and large companies like Uber or Lyft over portable benefits. Gig workers have…

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How the New DOL Opinion Letter Program Could Impact Worker Misclassification Cases

What is an Opinion Letter? Opinion letters are official written interpretations by government agencies regarding the application and enforcement of laws and regulations. Since they are written by government personnel, these letters provide an official guideline for the legal application of existing regulations. "Opinion letters are an important tool in ensuring workers and businesses alike have access to clear, practical guidance," said Deputy Secretary of Labor Keith Sonderling. Department of…

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New Jersey Enacts Pay Transparency Law: Employers Must Disclose Salary Ranges and Benefits in Job Postings

On June 1, 2025, a new pay and benefits transparency law created by the New Jersey Department of Labor and Workforce Development took effect, requiring certain employers to comply with enumerated job posting requirements. The goal of the new wage transparency law is to increase workplace transparency and support the New Jersey workforce and employee rights through mandatory salary and benefit disclosures. Which New Jersey employers must comply? Employers that…

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Understanding Independent Contractor Misclassification: The DOL’s Latest Enforcement Signals a Shift

DOL Bulletin Resets the Standard for Independent Contractor Misclassification On May 1, 2025, the Wage and Hour Division (WHD) of the U.S. Department of Labor (DOL) issued Field Assistance Bulletin No. 2025-1, which provides new guidance regarding how the WHD is to classify employees and independent contractors under the Fair Labor Standards Act (FLSA). In a Departure from prior guidance impacting independent contractor misclassification, the WHD announced it will no…

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Misclassification in the Fashion Industry: How Creative Professionals Are Being Denied Basic Worker Protections

The misclassification of employees as independent contractors is a serious labor issue which often deprives workers of essential rights and protections like overtime pay, paid time off, unemployment insurance, and other key benefits only required by law to be provided to employees. While workers in any industry can suffer from employee misclassification, contractors and freelance workers in creative industries like fashion and design are often particularly vulnerable to this unlawful…

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New York Senate Approves Bill to Combat Employee Misclassification

On March 4, 2025, the New York Senate unanimously passed Senate Bill S1514, which gives the Commissioner of New York’s Department of Labor (NYDOL) the authority to issue stop-work orders to employers that knowingly misclassify employees as independent contractors. In addition, the bill permits the Commissioner to issue stop-work orders to employers for providing false, incomplete, or misleading information to an insurance company regarding the number of employees the employer has.…

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New York Senate Passes Employee Misclassification Bill to Protect Workers

On March 7, 2025, the New York Senate announced it unanimously passed Senate Bill S1514, an employee misclassification bill that amends state labor law.  This bill is part of a package of state legislation supporting workers’ rights. Once enacted, the legislation will protect misclassified workers by permitting the Commissioner of New York’s Department of Labor (NYDOL) to issue stop-work orders to employers for (1) misclassifying employees as independent contractors; and…

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California Independent Contractor Misclassification Costs Amity In-Home Care $2.3M

Worker Misclassification Costs Amity $2.3M On February 20, 2025, the California Labor Commissioner’s Office (“LCO”), a division of the Department of Industrial Relations (“DIR”), fined Amity In-Home Care Services, Inc. (“Amity”) over $2.3 million for misclassifying its workers as independent contractors. Amity is a California-based home care agency that provides non-medical services such as personal hygiene, light housekeeping, companionship, and mobility assistance through its team of “skilled and dependable caregivers.”…

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The Cost of Worker Misclassification in Maryland

Worker misclassification is a widespread issue that affects thousands of employees across Maryland, depriving them of critical benefits and protections. Many workers who should be classified as employees are instead misclassified as independent contractors, often without their knowledge. This can result in lost wages, denied benefits, and reduced legal protections, making it harder for workers to access the rights they deserve. Worker Misclassification in Maryland: What Employees & Employers Need…

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