Louisiana Workforce Commission Weeds Out Misclassification by Targeting High-Risk Companies

The Louisiana Workforce Commission has racked up some impressive numbers in tracking down businesses that improperly classify employees by taking advantage of relaxed U.S. Department of Labor guidelines that now allow for risk-based audits

To date, LWC audits have identified nearly 9,400 employees statewide that have been misclassified as contract labor.

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Governor of North Carolina Signs E.O. on Worker Misclassification

North Carolina Gov. Pat McCrory’s new executive order establishes an “Employee Classification Section” within the state’s Industrial Commission that will oversee employee misclassification enforcement by receiving reports of employee misclassification and referring those reports to appropriate state agencies for further action.  The yet to be appointed new Director must publish an annual report to the Office of the Governor concerning the Section’s activities, including the number of reports of employee misclassification received, the number and amount of back taxes, wages, benefits, penalties, or other monies assessed, the amount of back taxes, wages, benefits, penalties, or other monies collected, and the number of cases referred to each State agency.

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Senator Brown Outlines Efforts to Address Worker Missclassification

Senator Sherrod Brown (D-OH) announced plans yesterday to introduce new legislation that would close a loophole in the tax code that allows employers to openly treat full-time workers as independent contractors in order to avoid providing them with earned safeguards and benefits – like payroll tax withholding, overtime, unemployment insurance, and workers’ compensation.

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