The Biden Administration has directed a number of changes that impact employers under Administrative Agency action as well as the passage of the American Rescue Plan Act (ARPA). We are highlighting a few of those here to alert employers and will cover them more in-depth in later blogs or our seminars.
This blog has previously covered the potential pitfalls of classifying workers as independent contractors. While classifying a worker as a “1099” offers many potential benefits on the business side, it can expose the company to significant tax liability, statutory penalties, and monetary damages.
As this blog previously covered here and here, the United States Department of Labor under President Obama cracked down on misclassification of workers as independent contractors and broadly interpreted who was considered a “joint employer.”