Employee Misclassification Claims
Employee Misclassification Claims
Employee misclassification can lead to serious legal and financial risks for businesses, especially under California’s strict labor laws. Whether it’s misclassifying workers as independent contractors or exempt employees, companies must navigate complex regulations to stay compliant. EAG Law Group defends employers against misclassification claims and audits, helping businesses avoid costly penalties and legal disputes.
Whether it’s misclassifying workers as independent contractors or exempt employees, companies must navigate complex regulations to stay compliant. EAG Law Group defends employers against misclassification claims and audits, helping businesses avoid costly penalties and legal disputes.
Misclassification of employees can take two forms, each carrying a potentially broad variety of liability.
Sadly, long-held misconceptions about the proper classification of individuals who perform personal services for a business have led many companies to honestly, but complacently, adopt practices that may now carry serious legal risk and liability in the current business environment.
Mistakenly misclassifying employees as overtime exempt is a relatively common claim in current wage-hour litigation. Even highly paid employees who receive a salary, or who manage or supervise other workforce members, may be entitled to overtime pay, rest breaks, and meal periods required for hourly non-exempt employees under California law.
Mistakenly misclassifying a personal service provider as a non-employee independent contractor or 1099 “consultant” is another common misstep. Under California’s AB5 legislation, the burden for establishing that an individual was properly classified as an independent contractor is now very stringent.
EAG defends businesses in every type of misclassification claims:
- Wage-hour claims
- Workers’ compensation insurance audits
- Labor Commissioner or Department of Labor audits
- EDD audits
- Labor Code section 226.8 claims
What Our Clients Are Saying
"a vital partner in our organization's due diligence process in all areas of employment law"
"My team and I have turned to Steve Chanley's expertise for nearly 7 years for our various employment law needs. I consider him a vital partner in our organization's due diligence process in all areas of employment law, whether it is for consultation regarding labor law practices or representation for"
- Client
"I recommend him highly."
" I have worked with Steve for about ten years on employee litigation and personnel practices matters. I recommend him highly. On the litigation front we have been involved with cases in which the matters have been withdrawn, settled, and gone through trial and judgement. I found Steve to be knowledgeable about the law, thoughtful and creative about case management strategy and tactics."
- Pete
"I can't say enough good things about him."
“I have worked with Steve since 2002 and I can't say enough good things about him . He represented me in a trade secret case filed in Superior Court against a company traded on the New York Stock Exchange. At the time I did not think there was much hope but Steve successfully opposed every motion the opposing attorney filed in the case. He had the opposing attorney on his heels the whole time and was able to achieve a very favorable outcome.”
- Francis
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