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I've heard Google accused of having a "caste system" before, always because contractors aren't allowed X Google perk. They may not realize that Google walks a
by qeorge 15y ago
I've heard Google accused of having a "caste system" before, always because contractors aren't allowed X Google perk.
They may not realize that Google walks a fine line with the IRS here. Its cheaper to pay contractors (write off the fees vs. payroll tax, for instance), so many companies use contractors like employees. This is illegal, and if the IRS decides your contractor is really an employee, they will force you to pay taxes as such.
So Google must be careful to maintain a clear distinction between employees and contractors. I suspect the badges and tiered privileges are just that.
He did mention "red badge" contractors having more privilidges than "yellow badge." I can't speak to that, and perhaps Google does need to take a hard look at its hiring practices. But it seems more likely to me that the OP is encountering a feature of our tax system, not a deliberate attempt to underpay minorities.
- jcampbell1 15y agoI think your confusing two separate things. Independant contractors that receive a 1099, and "contractors" where a company pays another company for services. The IRS doesn't care if companies contract services from other companies. They don't like full time employees being treated as 1099 employees because tax collection is more difficult. 1099 employees, as independent business owners, can write off many expenses which are hard to audit and result in lower tax revenue.
- jrockway 15y agoSo Google must be careful to maintain a clear distinction between employees and contractors. I suspect the badges and tiered privileges are just that. This is not true. I have been a contractor at big companies before, and the only way anyone knows the difference is your badge and title in the corporate directory. Other than that, everything is the same. You get a W-2 and everything.