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Should My Club Be Concerned About the Evolving Independent Contractor Environment?

There is a gathering storm brewing in golf today with its origins tracing back to the Fair Labor Standards Act of 1938. Since then, organizations that did not follow the Act have paid dearly. Most recently, the Department of Labor (DOL) narrowed its definition of what an independent contractor is and is not. While still ambiguous, this tightening is clearly reflective of a gathering storm.

For decades, many in the golf business have classified caddies as independent contractors, believing that they were also treated as such in good conscious and faith. This was done with the best of intentions and a legal basis that was appropriate for the time. The problem is the environment is changing.

How then can clubs best prepare and protect its members and caddies which, in many instances, have been in place across generational lines? How do clubs maintain or improve their caddie program while lessening the hazards associated with it? What exactly are the risks to owners, club management, members and caddies?

There is no harm in being prepared while there is great harm in being unprepared. To see the DOL’s guidelines, visit its website. An additional resource are the third-party providers of caddie management and staffing services. Articles in this issue of Club Director also provide guidance for caddie classification on pages 6 and 20.

Mark Brenneman, PGA,  is the former general manager of Shadow Creek in Las Vegas and is currently the chief business  development officer for CADDIEMASTER, the  premier provider of caddie management and training services with more than 50 partnerships in 22 states and 4 countries. He can be reached at [email protected].  For more information, visit www.caddiemaster.com 

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