NJ: Independent Contractor Misclassifications

The New Jersey Department of Labor has announced a partnership with the U.S. Department of Labor regarding “enforcement actions related to independent contractor misclassifications”.

Jackson Lewis explained that:

“[T]he arrangement promotes ‘coordinated investigations and shared resources.’ While not singling out any one industry, the New Jersey Department of Labor’s press release mentioned construction, transportation, information technology, and “other in-demand businesses” as potentially non-compliant.”

The announcement does not cite specific industries, but does mention “construction, transportation, information technology, and ‘other in-demand businesses'”.

Consequences for not properly classifying emplyoees can “include federal and state penalties for failure to pay minimum wage and overtime, liquidated damages, and attorneys’ fees”.

Employers should review their records to identify any employees who may be misclassified as independent contractors.

For more details, please click here.

The information included in this blog post originally appeared in an article in a publication by Jackson Lewis on August 13, 2018, written by James M. McDonnell.


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