Misclassification occurs when an employer illegally defines one or more of its workers as an independent contractor rather than an employee. An employer may engage in misclassification because the employer stands to benefit by not having to pay certain compensation that would otherwise be due to a worker who is properly designated as a California employee. Employers may use misclassification to avoid payment of overtime compensation or other wages or benefits. Misclassification is illegal pursuant to California wage and hour laws.
A misclassification claim allows for a California employee to pursue compensation for unpaid overtime. Further, any employer who is prosecuted for misclassification may have to pay civil penalties for violations of the California Labor Code. Penalties provided can be as much as $100 per person, per pay period for an initial violation and $200 per person, per pay period, for each additional violation. The California Labor Code allows for 25% of these civil penalties to be paid to the California employee(s) who files a successful lawsuit. Misclassification claims also often give rise to class action claims. Where employers have illegally designated hundreds or thousand of workers as independent contractors rather than California employees, a class action lawsuit may be pursued.
Glynn Law Group represents California employees who have been misclassified as independent contractors. If you believe you have been misclassified and should be considered a California employee, contact Glynn Law Group to speak to an experienced misclassification lawyer who can help you understand California and federal misclassification laws and your potential claims. We offer a free, confidential consultation with an experienced lawyer who can explore your legal rights and any claims you may have for being misclassified as an independent contractor rather than a California employee.