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84: The Hidden Dangers Of Using Independent and Sub Contractors with Philip Siegel
Description
If you use sub or independent contractors in your business you’re going to want to listen to today’s show with attorney Philip Siegel. Philip works at Hendrick, Phillips, Salzman, and Siegel, a firm in Atlanta that specializes in work for construction companies all over the country. The difficult labor market has many of us turning to independent contractors to get the work done, but new regulations and aggressive enforcement have resulted in new hidden dangers for contractors. The misclassification of employees is costing business owners thousands of dollars in fines, but in today’s show, you’ll discover how to easily navigate this complicated issue. Join us to hear more from Philip!
What you’ll hear in this episode:
- The problem in misclassifying employees: Why should I care about it?
- Why issuing a 1099 form does NOT determine who is an independent contractor
- How this issue plays out regarding wage and hour audits, OSHA audits, disgruntled employees, unemployment claims, and payroll taxes
- Employee vs. independent contractor: How do you know which is which?
- The work being done by the contractor
- Their managerial skills
- The worker’s investment
- The worker’s special skill and initiative
- The relationship: permanent or indefinite
- The nature and degree of the employer’s control
- How to avoid huge fines and large attorneys’ fees
- What about salespeople on commission and office managers?
- Things to watch out for when hiring subcontractors:
- Have an agreement with specific provisions
- Insurance and indemnification requirements
- Takeaway tips: Conduct a relationship audit to assess exposure and have a contract
- The Retainer Program at Philip’s firm, as low as $350/month!
Resources:
Email or call Philip: pjs@hpsslaw.com (404) 522-1410