Photo credit: Marie-Lan Nguyen The California Supreme Court has decided to implement a new, more stringent test to determine whether a worker is an independent contractor (IC) or employee. For club leaders in California, this decision will make it more difficult for clubs to classify
The risks of misclassifying independent contractors vary from state to state, but, in general, the consequences can include the following. Claims for unpaid minimum wage and overtime – If the cash payments are determined to be gratuities rather than wages, then the club could be
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
ON JUNE 7, 2017, Labor Secretary Alexander Acosta withdrew the Department of Labor’s (DOL) Obama-era “Economic Realities” guidance. That guidance set forth factors the federal government would review to determine if a worker was appropriately classified as an independent contractor or an employee. The National
A common and reoccurring problem that private clubs encounter is the proper classification of caddies and other club workers. Clubs often classify caddies as independent contractors when in actuality the relationship between the club and the caddie should be that of employer/employee. Since a worker
For the past six months, NCA and our allies have been working to remove the Department of Labor’s (DOL) Independent Contractor/Employee Classification Guidance that was issued in July of 2015. Yesterday, that work paid off when Secretary of Labor Alex Acosta announced that the guidance
LAST YEAR, THE U.S. DEPARTMENT OF LABOR (DOL) established new guidance for the classification of workers as either employees or independent contractors (ICs). The guidance now makes it more difficult to classify employees as ICs, leaving clubs with ICs more vulnerable to litigation and penalties.
How many golf professionals, tennis pros or fitness instructors do you have on staff? Does your club require the use of caddies? Most importantly, are these workers classified as employees or independent contractors (ICs)? With the Department of Labor’s (DOL) newly released guidance on classifying
On July 15, DOL issued its new interpretation for employee/independent contractor (IC) classification and it could have a significant impact on clubs that utilize caddies or any “independent contractors.” Under this new guidance, DOL requires club leaders to consider a multi-factor “economic realities” test to
DOL Issues New Guidance on Employee/Independent Contractor Classification For some time, the Department of Labor’s (DOL) Wage and Hour Division has been working on establishing better guidance for the classification of workers as either employees or independent contractors (ICs). On July 15, DOL issued its