Nearly a year ago, the U.S. Department of Labor issued an opinion that most "gig economy" workers are properly classified as independent contractors.The gig economy labor market is made up of individuals who complete short-term contracts or freelance work, rather than...
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CA Supreme Court Enhances Independent Contractor Restrictions for Employers
The long-anticipated case Dynamex Operations West, Inc. v. Superior Court of Los Angeles, was issued on April 30, 2018. The case dealt with whether delivery drivers classified as independent contractors were misclassified as such under California Industrial Wage...
Great News for California Business Taxpayers: EDD Amends Burdensome Penalty for “Failure to File Worker Information Returns”
Since 1990, the California Employment Development Department (EDD) has retained the statutory authority to issue penalties for failure to file Forms W-2 and/or 1099. Until this year, effective January 1, 2018, taxpayers assessed the steepest of those penalties,...
EDD E-File and E-Pay Now Mandatory for Certain Employers
Effective January 1, 2017, employers with 10 or more employees are required to electronically file and pay their EDD employment tax returns, wage reports, and payroll tax deposits. All other employers will be subject to this requirement effective at the start of...
Shareholder Loans and Your California Payroll Tax Audit
Although it is common practice for corporate officers to take shareholder loans from company coffers, weak or inconsistent recordkeeping can turn this into a serious problem during California payroll tax audits - undocumented loans are often picked up by state tax...
Uber to Pay Up To $100 Million over Worker Classification Dispute
Employers who wish to utilize independent contractors in their business model may often do so, however, adequate review of the employers' documents and practices is crucial to a successful business plan based on an independent contractor workforce. This week, Uber...
New California Employer’s Guide and Household Employer’s Guide Available Online
California's Employment Development Department publishes a new Employer's Guide (DE 44) and Household Employer's Guide (DE 8829) each year to help you understand your rights and responsibilities if your business hires employees.The 2016 guides are available for...
California UBER Update
The Law Office of Williams & Associates, PC has been informed that the California Employment Development Department has recently won at least two administrative decisions against Uber in appeals of Obstructed Claims for Unemployment Insurance Benefits, before the...
Uber and Lyft in the Crosshairs Regarding Worker Classification
When I left the California EDD's Legal Office over two years ago, I predicted that the "rideshare" software application companies, Uber and Lyft, would soon come under scrutiny for worker classification issues. My prediction was correct. For the past few months,...
The Contractor Ranks Are Growing
The number of workers identifying themselves "independent contractors" is growing in the United States. In 2005 the U.S. Bureau of Labor Statistics determined that the number of independent contractors rose from 6.4% of the workforce in 2001 to 7.4% of the workforce...