Companies face more regulatory scrutiny over contractor classification

03/4/2013 | Wall Street Journal, The

State and federal regulators have cracked down in recent months by filing lawsuits seeking millions of dollars in back pay and taxes from companies alleged to have misclassified workers as independent contractors. Some companies are fighting back against a multiagency effort that has resulted in the collection of $9.5 million in back wages for more than 11,400 misclassified employees. Targeted companies span the labor spectrum and include construction, package delivery, trucking and exotic dance.

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