3 ms·

When I was software dev contractor I had clauses in my contract that said that I had to perform the work myself.

tathougies 7y ago
Great, so you are an employee, and can sue for backwages and back-benefits. If the company specifies how the work is performed (rather than what work needs to be performed for compensation), you are an employee, basically full stop. Actuually, you don't even need to sue. Just file your taxes as if you are an employee and the IRS will handle the rest. EDIT: See here: https://www.irs.gov/businesses/small-businesses-self-employed/independent-contractor-defined https://www.irs.gov/businesses/small-businesses-self-employe... > You are not an independent contractor if you perform services that can be controlled by an employer (what will be done and how it will be done). This applies even if you are given freedom of action.
- ppseafield 7y ago
  Even if technically you're correct, in the best possible scenario it'll take time to get that money back. In the worst case scenario you get involved in a tax dispute that can drag on for however long they can afford to. Meanwhile you don't have a job. I was fired from my "contracting" job, and the state eventually ruled that I was technically an employee. But I had to wait the longest 6 weeks of my life to find that out, and what if they had not? Or what if they ruled against me, and I had to appeal it? What if my former employer retaliated in other ways? I would have been even more screwed than I was.
  - tathougies 7y ago
    I don't disagree. That's why I said you can file your taxes as an employee. Presumably, since he kept the position, he was paid a living wage in cash flow terms. Filing taxes as an employee forces the IRS to investigate, and expend their resources, rather than your own. If they do find misclassification, they will inflict punishment on the company and force them to reclassify any other contractors. I'm not sure what else you can ask the state for without severely limiting the economy -- any investigation by the state is going to take time and there will be ambiguity. But, if your work was directed explicitly (such as being told you had to do it), you are pretty much guaranteed you are an employee. The IRS is really nice and they will act on your behalf.
esotericn 7y ago
In the UK that would make you an employee. It's specifically called out in IR35.

Great, so you are an employee, and can sue for backwages and back-benefits. If the company specifies how the work is performed (rather than what work needs to be performed for compensation), you are an employee, basically full stop. Actuually, you don't even need to sue. Just file your taxes as if you are an employee and the IRS will handle the rest. EDIT: See here: https://www.irs.gov/businesses/small-businesses-self-employed/independent-contractor-defined https://www.irs.gov/businesses/small-businesses-self-employe... > You are not an independent contractor if you perform services that can be controlled by an employer (what will be done and how it will be done). This applies even if you are given freedom of action.

ppseafield 7y ago
Even if technically you're correct, in the best possible scenario it'll take time to get that money back. In the worst case scenario you get involved in a tax dispute that can drag on for however long they can afford to. Meanwhile you don't have a job. I was fired from my "contracting" job, and the state eventually ruled that I was technically an employee. But I had to wait the longest 6 weeks of my life to find that out, and what if they had not? Or what if they ruled against me, and I had to appeal it? What if my former employer retaliated in other ways? I would have been even more screwed than I was.
- tathougies 7y ago
  I don't disagree. That's why I said you can file your taxes as an employee. Presumably, since he kept the position, he was paid a living wage in cash flow terms. Filing taxes as an employee forces the IRS to investigate, and expend their resources, rather than your own. If they do find misclassification, they will inflict punishment on the company and force them to reclassify any other contractors. I'm not sure what else you can ask the state for without severely limiting the economy -- any investigation by the state is going to take time and there will be ambiguity. But, if your work was directed explicitly (such as being told you had to do it), you are pretty much guaranteed you are an employee. The IRS is really nice and they will act on your behalf.

esotericn 7y ago

In the UK that would make you an employee. It's specifically called out in IR35.