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HR Law Hotline: Employee Misclassification – The new world order?

HR Law Hotline: Employee Misclassification – The new world order?

Posted by By at 3 August, at 14 : 27 PM Print


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August 03, 2018

EMPLOYEE MISCLASSIFICATION – THE NEW WORLD ORDER? 


This article was originally published in the 11th July 2018 edition of


INTRODUCTION

Possibly, the current biggest HR-legal issue faced by on-demand and gig economy companies globally is whether their workers are being misclassified. Several companies in this sector have been engaging a section of their workers as independent contractors and not as employees. As a result, these companies do not comply with the labor and employment laws in relation to such workers.

Various courts have been examining this issue of whether workers have been misclassified as independent contractors and accordingly be entitled to employment-related benefits and protection. On April 30, 2018, the California Supreme Court passed an important decision on this topic. The judgment is likely to have a huge impact on such arrangements and can potentially change the legal landscape for gig economy companies in California, USA, and possibly worldwide!

For complete article, please click here.

– Vikram ShroffYou can direct your queries or comments to the author



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DISCLAIMER

The contents of this hotline should not be construed as legal opinion. View detailed disclaimer.

This Hotline provides general information existing at the time of preparation. The Hotline is intended as a news update and Nishith Desai Associates neither assumes nor accepts any responsibility for any loss arising to any person acting or refraining from acting as a result of any material contained in this Hotline. It is recommended that professional advice be taken based on the specific facts and circumstances. This Hotline does not substitute the need to refer to the original pronouncements.
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