Even after years of increased enforcement, 1099 independent contractor (IC) misclassification is a common employment violation. And the risks associated with worker misclassification are only increasing as government agencies coordinate their enforcement efforts. Companies look to recruiters as employment experts, so it is important you know the basics of proper worker classification and stay on top of the latest enforcement efforts.
Why Misclassification Happens
When companies classify workers as independent contractors they don’t pay the employer share of FUTA, SUTA, and FICA taxes. They also don’t