Friday, August 10, 2007

Fines for worker misclassification

A new law means fines for construction companies that inappropriately classify workers as independent contractors instead of regular employees, a practice condemned by labor unions because they say it deprives workers of benefits such as worker's compensation and unemployment.


"Misclassification of employees as independent contractors is one of the chief devices that greedy employers use to cheat workers out of their benefits," one official said.


Other states have addressed worker misclassification and Illinois is one of at least five states to pass a law.


Violations can cost a company up to $2,500.

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