Shows & Panels
- AFCEA Answers
- Ask the CIO
- The Big Data Dilemma
- Carrying On with Continuity of Operations
- Connected Government
- Constituent Servicing
- Continuous Monitoring: Tools and Techniques for Trustworthy Government IT
- The Cyber Imperative
- Cyber Solutions for 2013 and Beyond
- Expert Voices
- Federal Executive Forum
- Federal IT Challenge
- Federal Tech Talk
- Mission-critical Apps in the Cloud
- The Path from Legacy Systems
- The Real Deal on Digital Government
- The Reality of Continuous Monitoring... Is Your Agency Secure?
- Veterans in Private Sector: Making the Transition
Shows & Panels
Labor teams with IRS to take on employers who misclassify workers
Friday - 9/23/2011, 11:01am EDT
It's a growing and — to officials at the IRS and Labor Department — disturbing trend. More employers are misclassifying their employees. For example, full-time workers are sometimes called "contractors" so the employer won't have to pay as much in taxes.
Labor Department, the IRS and several states are now working together to track down these unscrupulous bosses.
Nancy Leppink, the deputy administrator of the Wage and Hour Division at Labor, joined the Federal Drive with Tom Temin and Amy Morris to discuss why misclassification is a problem — and why the problem is getting worse.
There are implications under both state and federal laws, Leppink said, which is why there needs to be better collaboration and information, she said.
Misclassification isn't just a paperwork issue, she added. It can often have consequences down the road in terms of overtime pay, workers' compensation issues as well as tax withholding headaches.
"This is the culmination of a lot of efforts that particularly the wage and hour division and other agencies within the Department of Labor have had regarding this issue of misclassification," Leppink said.