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That’s exactly what I’m talking about. You are essentially a full time employee in all but name. Here’s one of the tests. Notice vacation is explicitly called

That’s exactly what I’m talking about. You are essentially a full time employee in all but name. Here’s one of the tests. Notice vacation is explicitly called out. > Are there written contracts or employee type benefits (i.e. pension plan, insurance, vacation). Will the relationship continue and is the work performed a key aspect of the business? Your employer is clearly treating you like an employee while paying you like a contractor. This kind of thing is common. But the more US jobs get outsourced like this, the more likely it is that people will notice and demand enforcement actions.

askonomm 5y ago
I wonder how would one enforce this. I invoice once per month for the hours I logged (that might include vacation hours), but the invoice itself says "Software Development Services {month} {year}". Or do you mean we wouldn't be able to have vacation as part of the contract? Or not allow a contractor to work for one client for more than X time per year? Seems pretty tricky. And how or who would enforce this for me, who is an Estonian citizen, Argentinian resident, and operates from under a USA based LLC as a non-resident USA company owner, working mostly for European start-ups? Which country would do the enforcing in this case?
- keithnz 5y ago
  the US would want to enforce it, not so much to be nice to Estonians / Argentinians, but to to stop US companies bypassing US workers by going overseas and bypassing laws to protect employees.
- learc83 5y ago
  Enforcement is relatively easy. Many US states regularly pursue enforcement action for misclassification of employees. Companies already report how much they pay contractors to the IRS and state tax agencies, so spot checking companies paying a large percentage of their total wages to contractors is the easiest way to do it. If you’re being paid by any American companies, the most likely theoretical enforcement would be the state the company is based in.

askonomm 5y ago

I wonder how would one enforce this. I invoice once per month for the hours I logged (that might include vacation hours), but the invoice itself says "Software Development Services {month} {year}". Or do you mean we wouldn't be able to have vacation as part of the contract? Or not allow a contractor to work for one client for more than X time per year? Seems pretty tricky. And how or who would enforce this for me, who is an Estonian citizen, Argentinian resident, and operates from under a USA based LLC as a non-resident USA company owner, working mostly for European start-ups? Which country would do the enforcing in this case?

keithnz 5y ago
the US would want to enforce it, not so much to be nice to Estonians / Argentinians, but to to stop US companies bypassing US workers by going overseas and bypassing laws to protect employees.
learc83 5y ago
Enforcement is relatively easy. Many US states regularly pursue enforcement action for misclassification of employees. Companies already report how much they pay contractors to the IRS and state tax agencies, so spot checking companies paying a large percentage of their total wages to contractors is the easiest way to do it. If you’re being paid by any American companies, the most likely theoretical enforcement would be the state the company is based in.