Employee or Independent Contractor?

What’s the difference between being an employee and being an independent contractor?

That’s been a popular question lately with transportation companies Uber and Lyft facing lawsuits in California about whether or not their drivers are employees – the companies say no, the drivers say yes. Being an independent contractor is not uncommon, in fact, according toCNBC there are currently over 20 million workers operating as independent contractors in the U.S.

Knowing whether you’re classified as an employee or an independent contractor helps define what kind of benefits your company owes you. Unlike employees, independent contractors pay their own taxes, own insurance and medical plans and they’re not eligible for overtime. Because of this, many industries – especially construction and agriculture– use the independent contractor relationship to save money.

The difference between these two classifications of worker is especially important when it comes to injury compensation. If you’re hurt on the job, employers or insurance companies will often state that you are not entitled to workers’ compensation benefits because you were an independent contractor and not an employee at the time of your injury. But they could be wrong!

There are many factors that are considered in determining a worker’s status as employee or independent contractor. In this blog post, attorney Briana Chua explains these factors in detail as well as offers important advice on how to protect yourself.

If your workers’ comp claim has been denied on this basis, let the attorneys at Taylor and Associates help you determine if the insurance company made an error.