In the ever-evolving landscape of employment law, the issue of employee misclassification is a significant concern for both workers and employers. Misclassification occurs when workers are incorrectly categorized, often as independent contractors rather than employees, a distinction that can have profound implications on wages, benefits, and job protections. Navigating these legal complexities can be daunting, and knowing when to seek the assistance of an employee misclassification attorney is crucial for…
Employee misclassification is a pervasive issue in the modern workplace, affecting both workers and employers. Misclassification occurs when an employer incorrectly categorizes an employee as an independent contractor or designates them as exempt. This improper classification can have significant legal and financial repercussions, impacting wages, benefits and protections under labor laws. Miller Shah LLP assists employees and employers navigate these complex issues. What is Employee Misclassification? Employee misclassification refers to…
In February 2022, the National College Players Association (“NCPA”), an advocacy group composed of current and former college athletes, filed an unfair labor practice charge against the University of California Los Angeles, the University of Southern California, the Pac-12 Conference, the National Collegiate Athletics Association (“NCAA”), and all Division I football, men’s basketball, and women’s basketball programs for violations of the National Labor Relations Act (“NLRA”). The NCPA alleges that…
On February 8, 2023, A Place for Rover, Inc. (“Rover” or the “Company”) agreed to pay $18 million to resolve allegations that the Company unlawfully misclassified its hourly workers as independent contractors in order to skirt certain minimum wage and benefit laws. Rover is an app-based platform where users can connect with and book dog sitters or walkers. The Rover app includes dog boarding, dog walking, house sitting and doggy…
On December 16th, 2022, the Pennsylvania Department of Labor & Industry’s Joint Task Force on Misclassification of Employees (“Joint Task Force”) held its twelfth meeting of the year. The Joint Task Force was created when Pennsylvania Governor Tom Wolf signed Act 85 into law in October 2020, which called for the creation of a Joint Task Force to be composed of seven members (or their designees) and chaired by the…
On August 3, 2022, the United States Court of Appeals for the Seventh Circuit reversed a Wisconsin federal court’s dismissal of a truck driver’s misclassification claims against hauling company Schneider National Inc. (“Schneider” or “the Company”). The Seventh Circuit found that driver Eric Brant (“Plaintiff”) plausibly alleged a viable claim under the Fair Labor Standards Act (“FLSA”), a federal law that protects workers from unfair employment practices by establishing requirements for minimum…
On November 18th, 2022, the Pennsylvania Department of Labor & Industry’s Joint Task Force on Misclassification of Employees (“Joint Task Force”) held its eleventh meeting of the year. The Joint Task Force, composed of seven members (or their designees) and chaired by the Secretary of Labor & Industry, was formed in October 2020 to evaluate the status of worker misclassification in Pennsylvania and develop recommendations to present to the Pennsylvania General Assembly.…
In a unanimous opinion issued on June 14, 2022, the Massachusetts Supreme Judicial Court found it was an error for the Massachusetts Attorney General to certify two proposed ballot initiatives to redefine the employment classification of rideshare app drivers. The Court determined the initiatives contained at least two substantially distinct policy decisions, and that the lumping together of multiple policy questions does not allow voters to answer a single initiative…
On February 17, 2022, a class of 1,322 California drivers announced an $8.43 million settlement (the “Settlement”) with Uber Technologies, Inc. (“Uber”) to resolve claims in James v. Uber. The Settlement, which comes in the wake of a $20 million initial settlement between Uber and a class of 15,000 California and Massachusetts Uber drivers in O’Connor v. Uber, compensates drivers for damages incurred after O’Connor and before the enactment of Proposition 22, a period…
On October 29, 2020, a class action lawsuit was filed in the United States District Court for the Northern District of Illinois accusing popular ride sharing platform Uber Technologies, Inc. (“Uber” or “Defendant”), of misclassifying its drivers as independent contractors instead of employees under federal wage laws. The action alleges that because drivers were misclassified as independent contractors, they missed out on benefits and protections granted to employees such as minimum wage…