Misclassification of Truckers as Independent Contractors

Attorney Craig Ackermann of Ackermann and Tilajef explains the all too common trucking industry practice of deliberately misclassifying truck drivers as independent contractors.
(Paid with a 1099 instead of a W2) This interview took place as part of the 2018 RWIT Cruise.

Misclassification of Employees as Independent Contractors  ( according to the Department of Labor)

Craig Ackermann of Ackermann & Tilajef

Misclassified employees often are denied access to critical benefits and protections they are entitled to by law, such as the minimum wage, overtime compensation, family and medical leave, unemployment insurance, and safe workplaces. Employee misclassification generates substantial losses to the federal government and state governments in the form of lower tax revenues, as well as to state unemployment insurance and workers’ compensation funds.

Misclassifying is Paying drivers with a 1099 as an independent contractors when they are actually an employee (to be paid with a W2)   is WRONG.

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The only benefit classifying an owner operator as an independent contractor is for the carrier NOT the driver. Most often the O/O is leased on to the carrier,  Misclassifying shifts expenses to the owner operator,  while still controlling many aspects of the O/O’s business.

A true Independent Contractor has total control of their business.

Craig Ackermann explains the difference in this short informational video.

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