Employers are required to properly classify employees and to pay appropriate unemployment insurance taxes and workers’ comp premiums. Misclassifying workers as independent contractors is considered fraud, whether intentional or not.
A new law, "The Fair Play Act," took effect July 1, 2013, setting stiffer penalties for employers who misclassify workers, whether intentional or not.
Don’t get caught on the wrong side of the law. Take this brief, confidential assessment test to determine if you’re classifying your employees properly.