Episode 175

175. Should Your Contractors Actually Be Employees? How to Properly Classify Workers to Avoid Legal Issues

I’m diving into a crucial topic that will help keep you out of legal trouble: the misclassification of workers who should be employees as contractors. I'll share a fascinating case study on the gig economy and legal battles, where companies like Uber and Lyft have faced complex challenges and regulations.

Understanding the key differences between employees and contractors is vital for every business owner. We’ll discuss why the government is so invested in worker classification and the serious consequences of getting it wrong. But don’t worry, I’ve got you covered with tips on how to correctly classify your workers to stay out of hot water!


Plus, I’m sharing practical advice to help you stay informed and compliant with the latest regulations. Tune in, and let’s ensure you have all the tools you need to succeed and stay on the right side of the law!


What you'll hear in this episode:

[0:00] The Common Misclassification Mistake

[2:40] Case Study: The Gig Economy and Legal Battles

[6:40] Understanding the Difference: Employee vs. Contractor

[9:40] Why the Government Cares About Classification

[11:45] Consequences of Misclassification

[13:10] How to Correctly Classify Your Workers

[20:50] Practical Advice for Staying Informed and Compliant


Listen to Similar Episodes:

147. Navigating Wage and Hour Laws

167. Should You Be Friends with Your Employees?

171. Do You Need Worker's Comp Insurance?


* Connect with me on LinkedIn https://www.linkedin.com/in/jackiemkoch/

* Find more information on my website peopleprinciples.co

About the Podcast

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About your host

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Jackie Koch

Hey, I’m Jackie Koch. I have over 15 years of experience prospecting talent and building teams for Fortune 500 companies, startups and small businesses in all types of industries.  Technically, I have an MBA from Concordia University, although I’d argue I learned more about growing and scaling a modern business over the last 5 years in the LA tech start up scene. There I built out recruiting and People Operations teams for high growth tech start ups. I love entrepreneurs and being one at heart, I started my own business during the pandemic. I’m the founder and CEO of People Principles where I help founders scale through fractional recruiting and people operations services.