Slashdot Mirror


Ask Slashdot: Opinions on the State Breaking Its Own Law Against Employee Misclassification?

An anonymous reader writes: I've had the privilege of developing software as an independent contractor for various agencies of a particular state for many years. These past few, however, have seen changes: now I, and almost every other contractor I know, are being managed very differently. This state is now making a widespread practice of using the businesses it awards contracts to as staffing agencies, knowing full well that the people coming in are 1099s and receive none of the benefits or protections of regular employees. These contractors are expected to be on site full-time, are not allowed to use their own hardware or software, and are managed alongside, and perform substantially the same work as other, regular employees. This is apparently done to cut costs.

The State has no legal risk here — that rests solely on the businesses it awards contracts to. But given that this particular state takes a hard line against misclassifying employees, this strikes me as profoundly hypocritical. I am not here to ask for legal advice. Indeed, I have already retained counsel in this matter. Considering additional detail that I won't get into here, Federal law is likely being broken. Since this is also one of the states that have the strict 'three prong' test for classifying employees, the State's own law is definitely being broken.

I thought, maybe somebody should say something. But my lawyer's reaction surprised me. He said — this isn't a big deal, you could just go find another client. And you know what? He's right. I could totally do that. Maybe since we in the IT industry tend to be well paid, nobody should care, and there's no reason complain. I'm not asking for legal advice or a recommendation as to what I should do personally; I'm still forming an opinion on the larger issue here, and I'd like you to share yours.

165 comments

  1. So... by coldsalmon · · Score: 4, Insightful

    ...what's the question?

    1. Re:So... by cascadingstylesheet · · Score: 4, Insightful

      ...what's the question?

      He doesn't have one. He's ten steps ahead of you and doesn't want your advice. He precludes you contributing positively in any way you could conceive of.

      So ... yeah. Not sure WTF.

    2. Re:So... by Anonymous Coward · · Score: 1

      And for non-Americans, WTF is a "1099"?

    3. Re:So... by FictionPimp · · Score: 2

      Obviously the question is "Fuck yea, government sucks!"

    4. Re:So... by cayenne8 · · Score: 2
      I dunno what the deal is here....

      This is how federal contracts have worked for years.

      Often, employees can get the WORST of both worlds...if they are hired as a W2 employee of the contracting house (usually the prime) of a federal gig. Yes you get some benefits, but you don't get the pay and freedom of a full blown contractor.

      If you can get your foot in the door and work things, it is best to try to incorporate yourself and maybe be a sub to a prime or sub to a sub(bottom line you are paid 1099)...in which case you know the drill, negotiate your bill rate to cover your paying your medical insurance, retirement, vacation/sick time off, etc.

      This can work out *GREAT* for you....sure they will give you core hours to be there and often they furnish you with equipment...at least the feds do a lot of the time for security purposes, but you get that indie bill rate, and ability to write things off and keep more of your hard earned money from the tax man. I especially like doing the S-corp thing...to help save on paying employment taxes (SS and medicare) on everything you bill for...a bit more paperwork, but worth it in the long run, IMHO.

      Anyway, I dunno what this guy is complaining about....but it has been this way for the past 17-18 years I've known about things in the govt/contracting industry, at least for IT systems.

      --
      Light travels faster than sound. This is why some people appear bright until you hear them speak.........
    5. Re:So... by Anonymous Coward · · Score: 2, Informative

      It means you are treated as a contractor who is paid directly without (normally) the removal of payroll taxes. It means that the individual is responsible for his or her own health insurance and other benefits as well as income tax payments.

    6. Re:So... by Anonymous Coward · · Score: 0

      It's a tax form used by contractors not by 'traditional' employees. If you are a contractor/1099 you don't get all the benifits an 'traditional' employee would get ie health insurance, retirement benifits etc. generally the only benefit of being a contractor/1099 is you are your own boss, get paid a higher rate.

    7. Re:So... by djbckr · · Score: 1

      Wasn't so much a question as a statement: "I'd like you to share yours [your opinion on the matter]"

    8. Re:So... by Anonymous Coward · · Score: 0

      Are you surprised that governments keep breaking their own rules? Probably not.

    9. Re:So... by Anonymous Coward · · Score: 2, Informative

      1099 is the number of the form used by companies (or individuals, in some cases) to report to the IRS payments made to non-employees. Recipients of said 1099s are responsible for paying all the income tax, social security tax, etc, on said payments. (There are subcategories of 1099 for reporting other kinds of payments, such as royalties, interest, etc.)

      In contractor speak it means you're getting paid as an independant, rather than a regular employee (employee earnings are reported on a form W-2, and it's up to the employer to deduct taxes, pay the employer's share of social security, etc).

    10. Re:So... by FranTaylor · · Score: 1

      Obviously the question is "Fuck yea, government sucks!"

      as opposed to what exactly?

    11. Re:So... by Anonymous Coward · · Score: 0

      "And you know what?"

    12. Re:So... by tlhIngan · · Score: 3, Insightful

      Often, employees can get the WORST of both worlds...if they are hired as a W2 employee of the contracting house (usually the prime) of a federal gig. Yes you get some benefits, but you don't get the pay and freedom of a full blown contractor.

      OTOH, the employer has to pay payroll taxes of the employee, there's paid time off, etc. And well, the person doesn't have to seek out work when the contract's running out (because of the way things work, an independent contractor has the obligation to seek additional work to provide "independence" - you cannot have your contract renewed over and over again otherwise you can get classified as an employee.

      All that is why contractors are paid more money - because instead of benefits and perks, all that is cashed out. You take time off - you don't get paid, so you're paid more to compensate for that. The contracting company doesn't pay payroll taxes on you - that's now your responsibility, etc.

      Of course, the downside is you're cashing out your perks. If you're taxed at 25%, that means your paid time off is now taxed. So instead of taking 8 hours off, you got cashed out 8 hours, and effectively were paid for 6 hours.

    13. Re:So... by LeadSongDog · · Score: 1

      They could always seek employment as a consultant to anarchy... Oh,... wait....

      --
      Oh, I'm sorry sir, I thought you were referring to me, Mr. Wensleydale.
    14. Re:So... by Anonymous Coward · · Score: 0

      If he should find another lawyer!

    15. Re: So... by Anonymous Coward · · Score: 0

      Even on salary, your paid time off will be taxed.

    16. Re:So... by NicBenjamin · · Score: 2

      He wants your musings on the situation.

      Which is pretty much what he'd get, even if he actually had a question to ask, so I strongly suspect he's the only person whose ever done an Ask Slashdot after reading Slashdot.

    17. Re:So... by NicBenjamin · · Score: 2

      It's one of several forms that companies use to tell the IRS they paid you money.

      Employees get something called a W2, which has a detailed breakdown of their total earnings, how much of those earnings were taxable for normal income tax, Social Security Tax, medicare tax, and state and local income taxes. It also includes lots of tax-relevent info like contributions to your retirement account, and some non-relevent info that the Feds have decided you should have (the bit of your health premium paid by your employer is one of many things that can appear in Box 12).

      A 1099 is used by one business to report paying another business. If you're not an employee you're acting as a business, and you get a 1099. It has much less info because there's less to report (IIRC only the amount they paid you, and withholding for various units of government). As a business you are on the hook for your own Social Security and Medicare withholding, personal health insurance, etc. Many things an employer is require to compensate you for (such as work materials) are your own damn responsibility.

    18. Re:So... by Opportunist · · Score: 1

      But I don't know any Russian!

      --
      We used to have a Bill of Rights. Now, with the rights gone, all we have left is the bill.
    19. Re: So... by Anonymous Coward · · Score: 0

      He's asking four your advice, but he's so prideful he can't even admit it. He seems to think there is a meaningful difference between asking four advice and asking for your opinion.

    20. Re:So... by cayenne8 · · Score: 1

      OTOH, the employer has to pay payroll taxes of the employee, there's paid time off, etc. And well, the person doesn't have to seek out work when the contract's running out (because of the way things work, an independent contractor has the obligation to seek additional work to provide "independence" - you cannot have your contract renewed over and over again otherwise you can get classified as an employee.

      Not true.

      Especially not true if you're working federal contracts....been on multi-year, renewed ones many times.

      --
      Light travels faster than sound. This is why some people appear bright until you hear them speak.........
  2. Sit down, shut up, and do your work... until... by Anonymous Coward · · Score: 0

    Until you are all contractors, and they lower your rate accordingly. That ultimately is the danger.

    The service you are providing ultimately when working for the state is to the customer (ie: the taxpayer). I always question the benefit of contracting out when it becomes a way to just hire more employees. If you are needed for that long, it is likely in the customer's best interest to actually hire you, even if that costs a little more (which I really doubt it does). I totally get the flexibility that is contracting for short periods of time when needed, but I've personally seen contractors doing the same work as employees for multi-year stints, just because it was easier to contract out than actually hire a permanent position. I've even seen positions intentionally left vacant, while contractors are hired to do that position's work.

    The end game however, if I was to be cynical, is to contract everyone out, and then squeeze your rate down.

    1. Re:Sit down, shut up, and do your work... until... by cayenne8 · · Score: 4, Interesting

      ...but I've personally seen contractors doing the same work as employees for multi-year stints, just because it was easier to contract out than actually hire a permanent position. I've even seen positions intentionally left vacant, while contractors are hired to do that position's work.

      Yes..and SHHHHHHH!!!

      Don't start complaining about this. Those of us in the 1099 contracting game LIKE it this way!!

      There's nothing magical or that difficult about paying your own benefits!! Medical is easy, just get a high deductible policy (and many of them since obama care came out are this way) of about $1200 deductible, you can also set up a HSA (Health Savings Account) and sock away about $3K annually pre-tax....for your routine meds and co-pays, etc.

      You set up a solo-401K or IRA..whatever you like...and you know how to negotiate your bill rate to cover medical/retirement/timeoff and you're good to go. This way, you generally have MUCH more freedom with work (no more fucking waiting to *EARN* vacation hours...take them off when you want), and you can write off many things, driving to/from job site is a good one, equipment, and as I've mentioned before, if you set yourself up as a S-corp of one person, and pay yourself a reasonable salary W2 from your own company, you only have to pay employment taxes (SS and medicare) on that portion of your money, the rest falls through to personal income taxes at EOY..where only state and federal are taxes..and thats AFTER you take your deductions out.

      All you have to do, is be able to wear your big boy pants and keep up with a bit of paperwork yourself, be responsible with money (save enough to pay EOY taxes, make sure to pay quarterly taxes)...and also good idea to hire a CPA (deductible).

      You get more freedom to work like you wish, and you have a fighting chance to keep more of your hard earned money from the fscking IRS. And it is perfectly legal...

      There is NOTHING wrong with being a 1099 contractor, frankly, I think it is much better than being a regular W2 wage slave...and these days, face it, you don't get any more job security as a regular employee than you do as a contractor...so, you might as well contract and get the BILL rate that goes with it.

      --
      Light travels faster than sound. This is why some people appear bright until you hear them speak.........
    2. Re:Sit down, shut up, and do your work... until... by farble1670 · · Score: 1

      no more fucking waiting to *EARN* vacation hours...take them off when you want

      you do understand that when a company offers vacation, you get PAID for the time off, right? what you are "earning" is paid time off, not simply the right to take time off.

    3. Re:Sit down, shut up, and do your work... until... by ADRA · · Score: 1

      "driving to/from job site is a good one"
      Mind you I'm in Canada, but this is specifically NOT in the rules for allowable travel if to/from work sites if part of regular routine. Plus here, you have to log all hours travelled if you're expensing against a 'company car'. Travel as far as I have determined only applies between multiple job sites in the performance of said job (like plummer from one job to the next, but not to/from home. Maybe if your home is also your official office ... get a lawyer!). That said, most people I've known who expense their cars do literally no business with them, keep no log books, and have never been audited. Just beware that the law may come down hard on you if you're unlucky enough to be called on it.

      I've been a contactor a long time and its great because my job category is richly paid and in demand. Now imagine -everyone- is forced to become contractors to get a job (why not if the 'distinction' is removed). The prospect for them is a lot less rosy. There are good reasons why we have employee laws. There are many contracts that do honor the loose distinction between the two, so I suggest finding those.

      --
      Bye!
    4. Re:Sit down, shut up, and do your work... until... by Anonymous Coward · · Score: 0

      If you want to "earn" 1.5 days a month vacation as a 1099, try to negotiate 1.075% more into your asking price and you have your paid vacation. That was the point of the parents comments.

    5. Re:Sit down, shut up, and do your work... until... by NormalVisual · · Score: 1

      Don't start complaining about this. Those of us in the 1099 contracting game LIKE it this way!!

      We do so long as the compensation is appropriate for it. If you're working through an agency and being paid the same as you would working W-2, then you're almost certainly losing money doing it since you have to cover your half of Social Security, in addition to doing quarterly taxes and generally keeping up with more paperwork as you mentioned.

      --
      Please stand clear of the doors, por favor mantenganse alejado de las puertas
    6. Re:Sit down, shut up, and do your work... until... by judoguy · · Score: 1

      There's nothing magical or that difficult about paying your own benefits!! Medical is easy, just get a high deductible policy (and many of them since obama care came out are this way) of about $1200 deductible, you can also set up a HSA (Health Savings Account) and sock away about $3K annually pre-tax....for your routine meds and co-pays, etc.

      Bullshit. The cheapest high deductible ObamaCrap policy that my wife and I (both contractors) can get in MN has a $13,000 out of pocket and costs us $8000 a year. For insurance we don't use.

      Yeah, it's easy but it ain't cheap. All we want is a catastrophic policy, but we are forced to buy a POS that don't need in order to grease the pockets of Obama's campaign contributors. And this crap is going up approximately 50% in 2016. We'll probably drop the crap and just pay the fine. We'll save a lot of money. "But you might need that hideously expensive insurance some day". Perhaps, but if we were allowed to just buy a classic high deductible catastrophic policy, we'd be fine. But we can't. If we buy a catastrophic policy, the fucking ACA won't let us contribute to our HSA and we still get fined for not having ObamaCrap. AND on top of that, the fucking law only allows you buy one for 90 fucking days anyway! Bastards.

      --
      Peace is easy to achieve, just surrender. Liberty is much harder get/keep.
    7. Re:Sit down, shut up, and do your work... until... by farble1670 · · Score: 1

      That was the point of the parents comments.

      so negotiating a fixed amount of vacation ahead of time in your contract qualifies, as the parent post states, "taking time off when you want"?

      good try.

    8. Re:Sit down, shut up, and do your work... until... by cayenne8 · · Score: 1

      Mind you I'm in Canada, but this is specifically NOT in the rules for allowable travel if to/from work sites if part of regular routine.

      When I was referring to expensing travel, I was referring to the mileage you get to write off for gas. I'm working from home now, so not up on current value, but it used to be like $0.58/mi or so? When doing this I just kept a log book in the car and recorded the odometer start and end when traveling to job site,etc.

      CA won't take that from you? You should still be able to do it for your federal returns.....

      But no, I'm very conservative in my business. I write off everything I can, but I am careful to not do anything to raise red flags. I don't write off part of my house as 'office', that often raises flags....but there is no need to try to push it or abuse it when it comes to deductions, just stay within the law and reasonable and you still are further ahead, IMHO, than you are in W2 land.

      --
      Light travels faster than sound. This is why some people appear bright until you hear them speak.........
    9. Re:Sit down, shut up, and do your work... until... by Anonymous Coward · · Score: 0

      Try again.
      Before the ACA you would not have been able to get insurance and if you did it would cover nothing.. Been there tried that.
      Pregnancy coverage == No
      Birth control coverage == No
      regular mammograms == No
      Cost 600$ a month.
      Hit by a truck == Yes but after a 5K deductible with no max out of pocket cap.

      The reason the costs continue to go up is because not enough regulation was put in that the Insurance companies are able to raise the rates as often as they want. That is the issue.

    10. Re:Sit down, shut up, and do your work... until... by PraiseBob · · Score: 1

      So I get to do all of the work of an HR benefits person, a secretary, an accountant, a corporate lawyer, AND my own job on top of that, plus get no vacation benefits or sick days, and get to pay a big chunk more in extra taxes, all for a bump in pay? It sounds like considerably more bookkeeping. I'd rather do the job I'm specialized in, than do 5 different jobs badly.

    11. Re:Sit down, shut up, and do your work... until... by stinerman · · Score: 1

      Was just going to say. We've got a guy at work that isn't a contractor by any definition of the word, but he likes it that way for everything you just said.

    12. Re:Sit down, shut up, and do your work... until... by Anonymous Coward · · Score: 0

      so negotiating a fixed amount of vacation ahead of time in your contract qualifies, as the parent post states, "taking time off when you want"?

      No, they were just pointing out that even though "vacation time" may not be paid in the sense it is when you are an employee, a contractor will still make more for the overall time frame, and one even gave you a number to help you understand it how easy it is to do so. And yes, a contractor can decide for himself when and for how long to take that time off.

      The fact that you can't understand it doesn't mean they're wrong. Nor does completely redefining what they said in order to make yourself look less ignorant. Which, btw, wasn't even a good try.

    13. Re:Sit down, shut up, and do your work... until... by farble1670 · · Score: 1

      The fact that you can't understand

      ooooh here comes the troll!

      Nor does completely redefining what they said in order to make yourself look less ignorant. Which, btw, wasn't even a good try.

      on the contrary, i was going on ONLY what was said, you're the one that's reading between the lines.

      no more fucking waiting to *EARN* vacation hours...take them off when you want

      contractors most certainly do not simply take vacation when they want. their clients need things done just as much as an employer needs things done from its employees.

      sure you can take as much "vacation" as you want, as long as you don't need the pay. however, i wouldn't count unemployment as as vacation.

    14. Re:Sit down, shut up, and do your work... until... by Bite+The+Pillow · · Score: 1

      "contractors most certainly do not simply take vacation when they want. "

      You don't just say "This week is off limits, I have something scheduled?" Assuming that's well ahead of time, of course, not the day before a week off. I work with 1099s who do exactly that. You can't just decide Monday morning that you're going to take a week off, but you can schedule it at your own pleasure, which if we translate, means whenever you want. If you have a contract that specifies otherwise, you are sucking the syphilitic cock of an unholy form of government.

      I *EARN* vacation every paycheck. My vacation time on my pay stub goes up every time I get paid, and I'm a normal non-1099 salaried person. It didn't start at 40 or 80 or 120 or whatever, it started at 0 and I earn more every week. I have worked for companies where I get the agreed upon amount on 1 January, but it is not a legal requirement.

      I work with a 1099 who earns more than me, in take home pay. That covers the cost of a paid vacation, insurance, and other things. Taking vacation for a week means not having a paycheck to cover that week, but that should have been factored in during salary negotiations.

      I'm not sure if you are a 1099, a disgruntled 1099, or completely ignorant. I'm not a 1099, but I can assure you that there was no troll, unless it was you. And you will have to forgive me for responding to you, except that trolls don't do that, so ignore that I did if you are actually a troll. As you probably will regardless, based on your comments.

    15. Re:Sit down, shut up, and do your work... until... by Bite+The+Pillow · · Score: 1

      "Mind you I'm in Canada"

      Then the answer is "Sorry if I've caused you a bit of trouble, eh?"

    16. Re:Sit down, shut up, and do your work... until... by Bite+The+Pillow · · Score: 1

      For insurance we don't use.

      Oh, you forsaw and forreplied to my reply with the old "classic high deductible catastrophic policy" crap? Do you realize how much of my paycheck goes to insurance? Do you know how much of my employer's contribution goes towards insurance?

      You probably don't. But you probably get paid for it. If you don't know, you really should find out. And if you aren't paid for it, you really should re-negotiate.

      I don't care how much it costs. I care whether you get paid above rate to compensate for your employer not contributing. Because that's life for a 1099.

      Insurance you don't use means that you have not factored the future into account. I do wish you that healthy life you are imagining, but it probably won't happen. Just statistics. I had a $128k med insurance bill, and I paid less than $2k out of pocket. I didn't need insurance before that, but I did need it at that time. Or maybe you and your wife make bank and can afford that.

      I was asymptomatic prior to incurring that bill. Maybe you are asymptomatic as well.

    17. Re:Sit down, shut up, and do your work... until... by Bite+The+Pillow · · Score: 1

      As many idiots as there are posting here, I just want to state for the record that I less than three your post. "a bit of paperwork ... hire a CPA" sounds like a lot of time to me.

    18. Re:Sit down, shut up, and do your work... until... by Malenx · · Score: 1

      My first software development internship out of College was for a decent sized insurance company who's programming workforce involved about 100 in house employees and 100 working as contractors. The contractors worked the same hours, used the same equipment, worked on the same teams, and in all general job aspects were identical to the contractors, but the in house employees had benefits and were allowed to attend company events, while the interns and contractors were barred from participating in any event paid for by the company.

      All contractors were required to work through hiring agencies in what looked like an attempt to bypass federal wage and benefit laws, though this would probably be thrown out in court because they completely mirrored their in house employees in every aspect. As an intern, my manager tried to get me hired on as a contractor full time after college. Though my manager had approved a wage up to 45$ an hour for me, the hiring company assured me I wouldn't be able to start over $20 an hour as a software developer fresh out of college. The hiring agency I was to be routed through was setup by this company, which makes me suspect that someone was taking a cut from the contractors pay for themselves.

      It took me 4 months of hand holding, about 10 emails, two in person meetings with HR, and one face to face with payroll for me to show them that they were rounding down every hourly employee's clocked hours worked, which was against the FLSA. Three months after I left the company for another that started me at $35 an hour, my old company sent me a check for $68, an audit of the wages actually owed from their time rounding.

      The really interesting part to me was half the contractors were Indians on work visas who seemed to be making about $20,000 less each year than their peers. Meanwhile, there were a few 1099s making $100 an hour who were really worth half that. I suspect corruption and a bad HR department was draining this company of a lot of labor capitol.

      No moral of the story, just my personal experience that I felt was related to the topic at hand.

    19. Re:Sit down, shut up, and do your work... until... by Anonymous Coward · · Score: 0

      Bullshit. The cheapest high deductible ObamaCrap policy that my wife and I (both contractors) can get in MN has a $13,000 out of pocket and costs us $8000 a year.

      Holy Fuck! You are getting raped!

      I am paying $118 a month for my personal insurance policy with Kaiser Permanente (in California). The deductibles vary depending on the procedure but its around $50 to see a doctor, and they cover almost everything in case of hospitalization.

    20. Re:Sit down, shut up, and do your work... until... by Anonymous Coward · · Score: 0

      Six years ago you could get an $8k deductible "catastrophic policy" for around $1800 a year in Iowa. GP is complaining about the giant fucking change that occurred in the past few years. For people that would rather risk $8k more in their deductible than pay $6k more pear year, the last few years has been a miserable change. And everyone's insurance is about to take another huge leap. If you look at insurance premiums versus the indexed inflation rate, you'd think our insurance system was run out of a third world country.

      Don't think we weren't set up for this. It ain't a mistake.

    21. Re:Sit down, shut up, and do your work... until... by rock_climbing_guy · · Score: 1

      I'm in a similar boat here. Did you perchance look into healthshares? I've been meaning to research them myself, but maybe you've already looked into them?

      --
      Wh47 d1d j00 541, 31337 15n't t3h r0xor5 ne m0r3???
    22. Re:Sit down, shut up, and do your work... until... by linuxrocks123 · · Score: 1

      Assuming the policy you're talking about covers two people -- your wife and you -- that's $333 per month per person. That's not that bad, man.

      --
      vi ~/.emacs # I'm probably going to Hell for this.
    23. Re:Sit down, shut up, and do your work... until... by Anonymous Coward · · Score: 0

      I notice you made no mention of having to be bonded and insured. Perhaps being a contractor is better when you're functionally interchangeable with an employee.

    24. Re:Sit down, shut up, and do your work... until... by Anonymous Coward · · Score: 0

      It should be interesting to see what happens when the employer mandate gives large businesses motivation to spend lobbying money in opposition to the insurance industry.

    25. Re:Sit down, shut up, and do your work... until... by Anonymous Coward · · Score: 0

      There's nothing like a health insurance company for making an HMO look good.

    26. Re:Sit down, shut up, and do your work... until... by Anonymous Coward · · Score: 0

      I guess you do not understand.
      roughly 1.8% more pay per hour means you will get the equivalent pay of 172 hours per month even though you only worked 160 hours a month. That 12 hours is your 1.5 days you got "paid" for that you can take off later as unpaid and still make the equivalent of 160 hours.

      Vacations that any company gives you are not free time or vacations. You are paying for them by getting a lower salary/rate. If a company decides to give you more vacation they could have just given you a higher hourly rate and kept your vacation time the same.

      I am a regular full time employee where I work. I have 400+ hours or sick time and I am usually maxed out of vacation hours at 225 and often lose them. I would much rather get no vacation and sick time and make more per hour. If I get sick or want a vacation, sure, I have the days to burn but I'd rather have the money equivalent paid weekly for them and when I am sick or want vacation, they can not pay me for those days I take off.

    27. Re:Sit down, shut up, and do your work... until... by farble1670 · · Score: 1

      You can't just decide Monday morning that you're going to take a week off, but you can schedule it at your own pleasure, which if we translate, means whenever you want.

      no, scheduling vacation weeks ahead of time during contract negotiations is not the same as "whenever you want".

      and p.s., that's exactly how i've scheduled vacation, as a salaried, employee for 20+ years.

      you are sucking the syphilitic cock of an unholy form of government

      yep, you are clever.

    28. Re:Sit down, shut up, and do your work... until... by farble1670 · · Score: 1

      I am a regular full time employee where I work.

      so i guess you know what you're talking about then.

      Vacations that any company gives you are not free time or vacations. You are paying for them by getting a lower salary/rate.

      weird. everywhere i've worked, i've always made significantly more than the contractors.

      roughly 1.8% more pay per hour

      references? no? okay then.

  3. legal risk by BradMajors · · Score: 4, Interesting

    It is not true the state is free from legal risk. I was in a somewhat similar situation and I was arguing that the contracting company was a sham and I was actually an employee of the original company.

    I received a big check to shut me up.

    1. Re:legal risk by fermion · · Score: 1

      I think the point the poster was making is that all risk has been transferred to the contracting company. If the contractors were working under the state,then yes under the new rules announced this week they could very likely sue for a big check. However, all that can happen here is the contracting company get sues and the state claims it had no idea that laws were being broken.

      --
      "She's a scientist and a lesbian. She's not going to let it slide." Orphan Black
    2. Re:legal risk by Anonymous Coward · · Score: 1

      The problem is the State's "legal risk" is covered by the taxpayer, not willing investors. It's hard to call it a risk at all.

    3. Re:legal risk by Anonymous Coward · · Score: 0

      I was involved in a civil suit against my state government which was eventually decided upon by the state supreme court. During this process, the state freely admitted to breaking the law in question, but argued that they were protected from civil action by sovereign immunity. The court ruled in favor of the state.

      So the state really is free from legal risk. You can't sue a state for breaking their own law unless it is specifically written in that law that you can.

  4. Which State? by McGruber · · Score: 0

    Wisconsin?

    1. Re:Which State? by NicBenjamin · · Score: 1

      Doubt it. Walker's not a guy who'd enforce the contractor/employee rules vigorously, and the OP specifically stated:
      "But given that this particular state takes a hard line against misclassifying employees, this strikes me as profoundly hypocritical."

  5. Go to the press by Anonymous Coward · · Score: 0

    Someone is surely looking to make a name for themselves by making the government look hypocritical.

    1. Re:Go to the press by cayenne8 · · Score: 1

      Someone is surely looking to make a name for themselves by making the government look hypocritical.

      Actually...someone is looking to really FUCK UP a good thing many of us have going.....

      --
      Light travels faster than sound. This is why some people appear bright until you hear them speak.........
  6. I was doing that in the 2000s for a state ... by cascadingstylesheet · · Score: 1

    ... yeah, funny, huh? The state doesn't judge itself harshly for that.

  7. Right vs wrong by Chuckstar · · Score: 4, Interesting

    Unfortunately, I often find myself in the minority on points like this. But here's where I typically come out:

    Everyone has a responsibility to report wrong-doing, when they see it. Even if this is not a legal responsibility, it is a moral one. Certainly, one can take this too far, and become a nitpicker. It's not one's responsibility to be a nitpicker. But it is one's responsibility to set a reasonable line in the sand, and when one sees that line crossed, then act accordingly.

    I get the sense you wouldn't be asking the question if you thought this fell into the category of nitpicking. The fact you feel the need to ask the question in the first place probably provides the answer right there. I believe you have a moral responsibility to not just look the other way. And this might involve risk to you. But where would we be as a society if people were afraid to take such risks in order to fix wrongs?

    1. Re:Right vs wrong by Anonymous Coward · · Score: 4, Insightful

      Obviously, legal != moral, but it's important to consider the reasons behind these employment laws.
      I've seen a lot of construction workers being taken advantage of by shady contractors who misclassify them. The workers are overworked, underpaid, and left without a lot of the protections that employees take for granted even in at-will, right to work red states. Competitors who follow the rules are regularly underbid by the cheaters. And how do you think a contractor who does this to his employees treats his clients? Keeping mum about these illegal practices is bad for us all.

    2. Re:Right vs wrong by Grishnakh · · Score: 4, Insightful

      The problem is that it isn't going to fix anything, and will just cause problems for him. This problem of treating employees as "contractors" isn't just with this state, it's everywhere. I've seen it with a bunch of small businesses with friends/relatives. Supposedly, the IRS takes a dim view of this practice, and allows employees to file SS-8 forms to report such employers, and force them to pay their proper share of FICA taxes and such. However, in practice, the IRS simply ignores these submissions and lets employers do whatever they want.

      But where would we be as a society if people were afraid to take such risks in order to fix wrongs?

      When society is so screwed-up that taking risks never actually improves things, and only results in trouble for the whistleblower, why bother? Face it, our current society hates whistleblowers. They're even called "rats". They're not well-perceived by anyone except a minority of people who are already malcontents.

      This guy is a software developer; the market for that profession is actually really good currently (though much more so in certain areas than others). He just needs to go find a new job. He'll probably get paid a lot more too. State governments aren't exactly known for being high-paying employers.

    3. Re:Right vs wrong by Anonymous Coward · · Score: 0

      Go to the papers. Journalists would kill for a story like this, and they can probably protect identities if desired.

    4. Re:Right vs wrong by Krishnoid · · Score: 1

      But where would we be as a society if people were afraid to take such risks in order to fix wrongs?

      Where we are today?

    5. Re:Right vs wrong by Anonymous Coward · · Score: 0

      What is the "wrong" exactly? Who is the victim? Work for a wage you see fit and the employer is willing to pay. If everyone is happy with their paychecks then there isn't really a morality crisis here. The rules (and costs) around employment are idiotic and this is simply a symptom of it. It's ridiculous how many rights employers and employees are losing. Lawyers won't touch this because the laws are dumb and there aren't any victims worth fighting for.

    6. Re:Right vs wrong by Anonymous Coward · · Score: 0

      This guy is a software developer; the market for that profession is actually really good currently (though much more so in certain areas than others). He just needs to go find a new job.

      No. If the state does this even with highly qualified, well paid people, they will be even more prone to push around their less qualified, less well paid, probably less informed employees. This is absolutely a case where solidarity from the more privileged is helpful and needed. And OP, even if they don't necessarily need the particular benefits from this particular job, could help others by fighting this through. So I would say: Find a new lawyer and go for it!

      Worker's rights issues are never about individuals, they are about society as a whole. If those who are better off put their heads in the sand, everything goes to shit.

    7. Re:Right vs wrong by Frobnicator · · Score: 2

      What is the "wrong" exactly? Who is the victim? Work for a wage you see fit and the employer is willing to pay. If everyone is happy with their paychecks then there isn't really a morality crisis here. The rules (and costs) around employment are idiotic and this is simply a symptom of it. It's ridiculous how many rights employers and employees are losing. Lawyers won't touch this because the laws are dumb and there aren't any victims worth fighting for.

      Society at whole suffers with this, it is tax evasion for one thing, and it is reduced wages and benefits for another. The taxes collected are lower, so there is less funding to government by using an unlawful classification. It doesn't really matter if it is a private office or a government office that is the one evading taxes, the fact is that federal taxes and probably state taxes are being evaded. By hiring them as 1099 workers to avoid providing benefits like medical insurance, FICA and other taxes, time off benefits, and more, which is unlawful under the Fair Labor Standards Act.

      You write it isn't a moral crisis. The office is engaged in an unlawful act, and he is (directly or indirectly) making money from an unlawful transaction. It may not be as extreme as profiting from child trafficking or the drug trade, but it is still profiting from an unlawful transaction. If he is one of the contractors, he may also have other concerns, like not being covered for health insurance as required by law.

      You wrote that this is about losing rights. This is actually about tax evasion and about fair labor pay. In the story, he writes that the 1099'ers are getting none of the benefits of salary employees doing the same thing; which violates fair payment laws. In one case I know of where a family business tried this exact thing, the husband got 3 years in federal prison, the wife 1 year, the son who managed the company got 3 years, and millions of dollars in fines were levied against them collectively, all of it for variations of tax evasion and the Fair Labor Standards Act. In this case it is a government office breaking the law, but it is hardly a victimless crime, and often the perpetrators spend years in jail.

      And you write that lawyers won't touch it, that victims aren't worth fighting for. In practice, there are SOME lawyers who are willing to fight that kind of fight when it is the government breaking the laws. If you were the one working full time but not getting health insurance benefits or time off or other benefits given to the other employees, I'm guessing you would change your tune about it being 'victimless'.

      --
      //TODO: Think of witty sig statement
    8. Re:Right vs wrong by Narcocide · · Score: 1

      ... and they can probably protect identities if desired.

      Nooope. Not anymore. You forgot the Snowden disclosures. Journalistic integrity with regards to protecting identities of whistleblowers is utterly impossible now. This is why Groklaw shut down, actually.

    9. Re:Right vs wrong by Chuckstar · · Score: 1

      In spite of the setbacks felt by the lower economic classes in the U.S., where we are today is the richest country in the world with the highest standard of living, and (aside from our ghastly treatment of drug users/dealers, who are really the lions share of our incarceration problem), a country that places a high premium on freedom. It's not a perfect country. It no longer holds the the moral high ground it once held. But it's still quite a great place. And the way we'll keep it from slipping further is for people to stand up for what's right.

    10. Re:Right vs wrong by Grishnakh · · Score: 1

      A story like what? "I worked for a while for this small business, was paid as a contractor instead of a regular employee, even though I was definitely treated as an employee, so I sent the IRS a SS-8 form and never heard back from them. Then I worked for another company in the same capacity, filed another SS-8 form, and nothing happened there either." How is that "a story to kill for"? Who knows, maybe the IRS called up the employer, he disagreed, and they closed the case. Even assuming the employer is definitely in the wrong, but what kind of story is the journalist going to get? He can call the IRS and they'll give him some BS answer like "we contacted the employer and determined that there was no wrongdoing and that the contractor status was correct". Or maybe "we're swamped with investigations and this wasn't high enough priority for us to get to yet".

      Whatever the excuse is, there isn't much of a story here, not unless the journalist gets hundreds of such people all with the same story and shows a big pattern of lack of enforcement. But that would require a lot of work as an investigative journalist, and we don't have any more of those these days.

    11. Re:Right vs wrong by Grishnakh · · Score: 1

      This is why Groklaw shut down, actually.

      Really? Do you have any more links about this, or can you expand on it?

    12. Re:Right vs wrong by Anonymous Coward · · Score: 0

      the US is a venal, corrupt country. if using 1099s behind shell corporations is convenient, then
      that's what we'll do. i worked that way for the US Dod 30 odd years ago and for exactly
      the same reasons.

      rather than questioning whether or not the state is going something which may be construed
      as technically illegal, if it bothers you you should probably find someplace else where
      they actually care.

      not that i dont think you're right...

    13. Re:Right vs wrong by Anonymous Coward · · Score: 0

      Did you read this comment? So long as the State has sovereign immunity you have to fight this with legislators instead of lawyers. The government can be guilty of gross hypocrisy and still not be breaking the laws because it actually says that the laws don't apply to them.

  8. First they came by Anonymous Coward · · Score: 0

    First they came for the Socialists, and I did not speak out—
    Because I was not a Socialist.....

  9. Lawyer by penguinoid · · Score: 1

    "I asked my legal expert for advice, but I didn't like it. Hey, you folks on the internet got any better opinions?"

    --
    Don't waste your vote! Vote for whoever you want, unless you live in a swing state it won't matter anyways
    1. Re:Lawyer by Martin+Blank · · Score: 1

      He specifically says he's not looking for advice. He's asking opinions on the moral and ethical lines associated with the practice itself. Some people are going to be fine with it, others outraged. He's formed a basic opinion of things, but he's still fine-tuning it and wants to hear potential alternate viewpoints to factor in.

      Morally, I have no problem with it unless the 1099 staff is being dramatically underpaid (which often happens to inexperienced people and that leads to its own inefficiencies when undertaking projects). Ethically, the state has a duty to ensure that its laws are being followed, and the contracts should state all requirements related to them. If the law requires W2 employees, an exclusion of 1099 employees, at least on a general basis, should be in the contract and be subject to auditing by the state, which should happen at least once for every contract term. Exceptions could be made for specialists brought in for short time periods, depending on the law.

      --
      You can never go home again... but I guess you can shop there.
  10. "...I'd like you to share yours." by turkeydance · · Score: 1

    this is a 1099-style post.

  11. Class Action? Similar story... by EMB+Numbers · · Score: 4, Informative

    IANAL, but ...
    Many years ago, I worked in the USA for a Canadian Corp. The Corp. routinely bounced payroll checks, delayed sending payroll checks, or wrote payroll checks for less than the amount owed. Every time theses things happened, the Corp. claimed it was difficulties with exchange rates and transfers to the USA bank from which pay checks were drawn for USA employees.

    I happened to work right across the street from a US Federal Building, so one day, several co-workers and myself walked over to inquire about any remedies that might be possible. We provided documentation to the helpful FBI agent who said bouncing payroll checks could fall under FBI jurisdiction. I also happened to mention the situation to my congressman who I knew socially as a long time family friend. A few weeks later, a Treasury Department person called and told us that nothing could be done to induce better behavior by a Canadian Corp. with respect to USA "employees", and furthermore, we weren't employees. We were considered independent contractors from the point of view of the Canadian Corp. Apparently, a shell USA Corp. employed us as regular employees with benefits and then contracted with the parent Corp. for our time. We received W-2 instead of 1099, but we were effectively 1099 contractors. The Treasury representative seemed to be telling us that we were not protected by USA labor laws or banking laws.

    Treasury representative's statements didn't seem right, and we asked many questions to clarify our understanding. Several of us asked a local lawyer about the situation, and the answer we got was that any court action would have to start in Canada, and any settlement would be consumed by attorney fees. In other words, it wasn't worth it.

    After a while of continued mistreatment, all of the USA employees except a few salesmen who worked on commission moved on to greener pastures. Such is life.

    1. Re:Class Action? Similar story... by TechnoJoe · · Score: 0

      A few weeks later, a Treasury Department person called and told us that nothing could be done to induce better behavior by a Canadian Corp. with respect to USA "employees", and furthermore, we weren't employees. We were considered independent contractors from the point of view of the Canadian Corp. Apparently, a shell USA Corp. employed us as regular employees with benefits and then contracted with the parent Corp. for our time.

      Bullcrap. The shell USA Corp. is still responsible for following local laws, including those ensuring your get paid in full and on-time. If shell USA Corp. doesn't get paid properly, that's between shell USA Corp. and Canadian Corp. -- not you can Canadian Corp. Shell USA Corp. is still on the hook, and their heads can be put on pikes for it. If the line you were given were true, couldn't every USA Corp. be setup that way?

      I don't know who your Corp. is, but they are obviously well connected to have Treasury give you the screws on their behalf.

  12. What does your union think? by Anonymous Coward · · Score: 0

    Oh, you don't have a union? Why the fuck do you not have a union?

    1. Re:What does your union think? by wiggles · · Score: 1

      Because they live in the real world, not some socialist thought experiment.

      Unions are dead. Get over it.

    2. Re:What does your union think? by Anonymous Coward · · Score: 1

      Because eventually all unions devolve into what we have in Chicago where an employer has to hire 4 people to do the job of 1 person, not because it makes sense, but because "union rules".

    3. Re:What does your union think? by Martin+Blank · · Score: 1

      It's not that unions are dead. Unions are very much alive in some places and working for everyone's betterment. Many nurses' unions fall into this.

      Unions have seriously declined (they peaked at only about a third of all workers in the 1950s), but that's because protections have been built into the law to ensure that most of those things unions fought for are available to all workers.

      --
      You can never go home again... but I guess you can shop there.
    4. Re:What does your union think? by Martin+Blank · · Score: 1

      Show floors are one of the places where union control got *WAY* out of hand. When someone paying to rent space for a booth can get into trouble--and sometimes even be fined--for emptying a trash can because of union rules, it's gone overboard. It contributes to the sky-high cost of exhibits and puts small companies at a disadvantage.

      --
      You can never go home again... but I guess you can shop there.
    5. Re: What does your union think? by rickb928 · · Score: 1

      American unions aren't dead, they are just corporations allegedly devoted to the related of their members.

      In reality, most are devoted to taking large salaries, ensuring their continued existence, and influencing legislation to achieve those goals.

      When their members realize they have TWO corporate masters, where non union workers only have ONE, then things can change. And as the unions strangle their corporate adversaries, they shed members. Eventually the leadership 'retires'.

      --
      deleting the extra space after periods so i can stay relevant, yeah.
    6. Re: What does your union think? by rickb928 · · Score: 1

      Make that "devoted to the welfare of their members.". Touch keyboards...

      --
      deleting the extra space after periods so i can stay relevant, yeah.
    7. Re:What does your union think? by Anonymous Coward · · Score: 0

      Show floors are one of the places where union control got *WAY* out of hand. When someone paying to rent space for a booth can get into trouble--and sometimes even be fined--for emptying a trash can because of union rules, it's gone overboard. It contributes to the sky-high cost of exhibits and puts small companies at a disadvantage.

      I get what you're saying about unions rules. Some union rules are needed however.

      (totally overboard example if you live in the industrialized nations, but not so much in others)
      Small company exec: What?! This is insanity! I can't rape my slaves and I have to pay them?! Haven't you heard about the free market? If they don't want to be exploited by me, they can be slaughtered somewhere else!
         

  13. I'm being taken advantage of by rsilvergun · · Score: 3, Insightful

    What are my options to stop it? That's all he's asking. It's especially scary because the same govt that should be looking out for these abuses is actively participating in them. This is what happens when workers lose solidarity. They'll come for you and your wages next.

    --
    Hi! I make Firefox Plug-ins. Check 'em out @ https://addons.mozilla.org/en-US/firefox/addon/youtube-mp3-podcaster/
    1. Re:I'm being taken advantage of by Anonymous Coward · · Score: 1, Insightful

      It's telling that this post is universally met by cynical acceptance. The system is so broken, and has been broken for so long, that nobody even pretends to care about making it better.

      And we ask why there is so much despair regarding the state of our government.

    2. Re:I'm being taken advantage of by ShanghaiBill · · Score: 1

      What are my options to stop it? That's all he's asking

      Stop what? The higher pay that 1099s routinely get in lieu of job security and benefits?

    3. Re:I'm being taken advantage of by Bite+The+Pillow · · Score: 2

      OP is not asking "What are my options to stop it?" - that should be directed to the lawyer he has already retained. Asking that here will get the response "Ask a lawyer".

      OP is asking what we think. I think I'm going to have a really nice shit in a few hours after what I just ate. I also think I don't understand

      "These contractors are expected to be on site full-time, are not allowed to use their own hardware or software, and are managed alongside, and perform substantially the same work as other, regular employees."

      I get "none of the benefits or protections of regular employees", but they are usually paid more to compensate (as in we pay you the money we would pay towards insurance and other costs you pay for yourself). But I don't know what state is involved, so I can't define "Misclassification" and neither can the rest of us.

      I think I'm going to die in 35 years of natural causes, and I have a coworker who is cute but I would not want to date him/her. I think a lot of things. I could go on for hours, and it would be relevant because the scope of the question has not been restricted enough.

    4. Re:I'm being taken advantage of by dbIII · · Score: 1

      Been there in a different country under a different designation and very likely a lot less pay, but the main hassle was as a contractor to a single body I could forget about trying to get a loan from a bank and was considered a risk for rental purposes because they assumed (probably correctly) that my job could vanish in an instant. There were ways around that, such as contracting to more than one company (thus becoming a "real" contractor to the banks), but being a pretend contractor just so the employing company could avoid some regulations (and make it trivial to fire people) sucked. It especially sucked since the tax department saw it as an abuse but went after the fake contractors (unless you had that second job) and not the company abusing the system.

    5. Re:I'm being taken advantage of by TechnoJoe · · Score: 0

      You can challenge the Independent Contractor status by filing Form SS-8 with the IRS.

  14. Damages by Anonymous Coward · · Score: 1

    One of the genius aspects of Anglo-American common law is that as a general principle breaking a law doesn't matter if there are no damages. The rise of the regulatory state is a big exception to this principle, unfortunately.

    Yes, theoretically there may be a problem in the future. But if nobody is being hurt now, nobody should care. _When_ people are hurt by this, then those hurts can bring a lawsuit.

    Waiting for damages to occur might be foolish, but it's much less foolish than allowing people or the state to dictate behavior solely based on imagined harms.

    I'm not an attorney, but generally speaking the distinctions between being a contractor and an employee don't matter independently of some other dispute, such as taxation, workplace regulations, etc. They're a form of status, the question of which is irrelevant outside of a real dispute.

  15. Let me understand. by Anonymous Coward · · Score: 0

    You think states are misusing contractors and breaking the law. You've announced you already have retained counsel and plan legal action.

    And now, just as a way of making conversation, you want people to share their stories of their experiences with you.

    Slashvertizements take all forms, I guess. But at least be straight with us. You're looking for either witnesses or additional plaintiffs for your case. Man up and say so.

    If you're dumb enough to respond to this "question," enjoy your subpoena. And Dice, enjoy all your subpoenas demand you reveal the identities of every poster who responds.

    Take your "question" and stick it where the sun don't shine.

  16. It IS FRAUD by JimSadler · · Score: 2

    With luck you could make a fortune. Any time a business claims a person is an independent contractor numerous state and federal agencies are defrauded. Workman's Compensation can not charge the usual fees. Unemployment is also defrauded. Programs such as food stamps and welfare suffer losses and others I probably have not thought of. For example the supposed contractor will take all kinds of illegal deductions from his taxes. The fraud it enables is endless. In theory the various agencies could enforce existing laws and you would get a substantial living just on turning in the companies that violate the law. But here is the sad and demonstrable fact. Businesses who get caught get very mild punishments. The actual punishments are so few and so cheap that the businesses keep right on with the violations. Compare it with companies that make huge sums defrauding the public. They steal a billion bucks and are ordered to pay back only one hundred million. The message is loud and clear. Business is above the law and above the government. In my area the great offender is the phone sales and telemarketing racket. I could easily catch and turn in three companies every day of the week except Sunday. Almost none of these employees are in fact contractors. And pretty much every phone call they make is criminal. But make note that the government rarely shuts them down and when they do the punishments are so minor that they open up right away a few blocks down the street. American business is pretty much a criminal conspiracy and nothing more than that.

  17. Pretty common situation by gurps_npc · · Score: 1
    One of the reasons certain people think privatization is a good idea for government is that it allows the private corporation to break the laws and the state to benefit via lower contract prices, all without the state taking direct responsibility.

    Private Prisons provide sub-standard food and medical care, that no state employee could possibly defend.

    Charter schools sometimes provide religious instructions that the state could not get away with.

    Private adoption agencies reject people based on illegal standards.

    Charities insist on certain religious requirement that the states could not do.

    One of the secrets is that when the private contractor gets caught, they lose the contract - and their senior employees start/join another company doing the exact same thing, and gets a new contract with the same state.

    --
    excitingthingstodo.blogspot.com
  18. Feds have done this already by Anonymous Coward · · Score: 0

    This is exactly what Clinton did to reduce the size of the federal government.

    It has the added benefit of giving his buddies the contract--which has to be the full motivation because it did not save any money.

  19. An Observation by Anonymous Coward · · Score: 0

    The state has vast legal resources.

  20. Retain Better Counsel by dave562 · · Score: 2

    I am not a lawyer, but it seems like this matter likely has the potential to be turned into a class action matter.

    Not to troll for work on /., but if you need counsel with experience in successfully litigating large scale class action suits, get in touch with me. (replace the ve with rmstrong at gmail in my name) We work with some of the largest law firms in the world and routinely handle class action suits. I cannot list specific disputes due to client confidentiality, but they are some of the largest matters that have been settled in the last decade and have received plenty of media attention. There are plenty of firms who are not representing the large state that you speak of and they can easily pass a conflict check.

    If your attorney is advising you to go find another job and more or less ignore this, he is not the right person to be representing you. You are aware of the extent of the issue and the potential ramifications. Find a firm that also understands that and you all can make significant amounts of money.

    1. Re:Retain Better Counsel by swb · · Score: 1

      If your attorney is advising you to go find another job and more or less ignore this, he is not the right person to be representing you. You are aware of the extent of the issue and the potential ramifications. Find a firm that also understands that and you all can make significant amounts of money.

      It's actually not bad advice, IMHO. I think a lot of good legal advice is to avoid legal conflicts if you can do it without meaningful damages. In this case, the guy could just find another client and move on.

      Sure, he could sue "and make significant amounts of money". But is that significant amount of money really recouping real damages on his part or just a chance to cash in? Plus it also seems that when lawyers take cases on contingency fees or in class actions, nobody really makes money but the lawyers.

      With any government entity, you're facing an opposition with basically unlimited resources to defend itself. There's also the chance that someone high up the food chain and influential was the source of this policy. Those people can be dangerous -- what if this guy finds himself under investigation for some past project? Sure, it'd be bogus, but now you're defending yourself, too. And then there's the risk of getting blackballed from more work in that sector.

  21. Is this a big deal by Etherwalk · · Score: 5, Insightful

    ...what's the question?

    The big question is whether state misreporting of employees and IC's is a big deal. Anonymous poster sees gross hypocrisy by his government and is told by legal counsel that it's not a big deal, wants others to weigh in so that he can better conceptualize how he should feel about this--he's looking to third parties for feedback on something that strikes him as morally suspect and affects his life. That's actually an incredibly healthy, rational, and unusual attitude.

    Is it a big deal? Yes and no. It's common to have people misrepresent employees as ICs in order to avoid the legal responsibilities of employment--that's *why* the IRS and various states crack down on it. So it's certainly not an *unusual* deal. And if you're making bank, it may not affect you much personally.

    But it may affect a lower-income worker who gets treated the same way by the state and is denied overtime benefits, or the woman who's discriminated against by the state's hiring process and finds it much harder to sue, or the corrections officer who doesn't get a pension, for example. So there's some reason to call the state out on it for the public good.

    There's *also* a strong argument that they should be called out on it because *they should have to put up with* the employment rules everyone else follows. They're the ones who change the rules, so they should experience having to live with them.

    So there are reasons to responsibly disclose, but not much personal benefit to you. You risk a whistleblower sign over your head for the rest of your career unless you do it intelligently. You could sort of go a middle-ground, where you don't go to the press, for example, but do include a note on your taxes that the state has deliberately misclassified you as an independent contractor as part of a systemic process that affects many thousands of employees. I have no idea if the IRS would do anything with it (I'm guessing not), but you would be reporting it. Ah, here we go, the IRS has a way to report fraud:

    http://www.irs.gov/Individuals...

    1. Re:Is this a big deal by _UnderTow_ · · Score: 2

      In what bizarro world do you think you live in where the people that make the rules are ever expected to actually follow them?

    2. Re:Is this a big deal by tylikcat · · Score: 3, Insightful

      Yes, this. The part I found the most disturbing was:

      "Maybe since we in the IT industry tend to be well paid, nobody should care, and there's no reason complain."

      There's a pretty significant portion of the tech industry that isn't necessarily well paid, nor do they have much in the way of job security. When times are good, they do just fine. When times aren't, they bounce between really marginal contracts and unemployment. (I replaced IT with tech because I've spent most of my time in software development, so most of my knowledge of IT as a field is somewhat second hand.)

      Tech culture tends to be all about individual achievement - and on the flip side, if you're not bringing in the buck, then you must be an underachiever, right? Which just means that if you are one of the workers who is more vulnerable, and if you are being exploited, there's more social pressure not to speak up about it, because you don't want to be labelled a whiner, when everyone knows that it's really that you couldn't hack it.

      (Just in case there's any doubt, while I'm a big fan of people doing cool stuff, and rather like to do cool stuff myself, I think the above is a rather stupid and short sighted approach to structuring a either a business or a society.)

    3. Re:Is this a big deal by Bite+The+Pillow · · Score: 1

      Yes, this. The part I found the most disturbing was:

      "Maybe since we in the IT industry tend to be well paid, nobody should care, and there's no reason complain."

      Me too. Grammar is important.

      Also, we in the IT industry tend to be underpaid unless we actually land a job offer. Getting a retention raise or accepting is irrelevant, it's the fact that we can be misclassified in our job title and vastly underpaid.

      Wait, "misclassified" sounds familiar. Should I care?

    4. Re:Is this a big deal by qeveren · · Score: 1

      I kinda figure the question answers itself at "the government is breaking the law."

      --
      Don't just stand there, get that other dog!
    5. Re:Is this a big deal by TechnoJoe · · Score: 0

      There's a more specific form for this exact situation - Form SS-8.

  22. people are angry at salaries/ perks of state emp. by circletimessquare · · Score: 1

    this is your problem:

    https://en.wikipedia.org/wiki/...

    of course, in a sane society, rather than tearing down state employees for their lavish benefits and income, people would be insisting their own salaries be raised to match, to reverse how their salaries and benefits have been gutted the last few decades so the CEO can buy more gold toilets and mistresses

    look to scott walker's effort to gut unions: there's a lot more of that from his playbook coming across republican controlled state houses soon

    unfortunately the average american is a hate filled small minded seflish bigot, and would rather tear others down to their level than work together and build a sane society. good job, crab mentality assholes. plutocrats take more and more, you get less and less, and all you can do is boil and hate and rage and tear everyone else down around you

    question is why anyone sane and intelligent ever votes republican. not that the democrats are much better but they obvious ARE better

    rather than holding out for ideological perfection that will never come, vote strategically: push society closer in the direction you want, don't expect to society to arrive at where you are automatically with one vote, and you're just holding out for that magic vote that will never come

    almost as bad as hate filled propagandized fox news watching crab mentality bigots is ivory tower ideological dreamers who will never get involved and only judge in acid cynicism from a distance. the real world is about compromises and corners, never perfection you airheads

    vote strategically

    --
    intellectual property law is philosophically incoherent. it is your moral duty to ignore it or sabotage it
  23. you're a 1099 for the firm by Anonymous Coward · · Score: 0

    So are you happy with the money or not?

    If you're happy with the money, stay, if you're not, quit.

  24. My experience by Anonymous Coward · · Score: 0

    Even if the state is clearly in the wrong, this will be fought against tooth and nail, and the facts misrepresented as delaying tactic until the person(s) who lobbied for this corruption has retired with their pension (and most likely a big fat bonus for reducing costs), at which point, 10 years later, the state will relent, blame it all on a former employee, and quietly institute the same policy again after the heat has died down.

    Rinse and repeat.

    And don't expect the feds to be in your corner: odds say they are doing the exact same thing, and aren't looking forward to having their corruption called out either.

    I have seen this scenario play out time and time again, with the same laws being broken over and over again, and ten years later after all the appeals have been exhausted; nothing changes. It has gotten so bad that certain parties in management support government employee unions as they are the least corrupt people in the room. Think about that for a moment.

    *government employee*

  25. Turn into the IRS for the 10 percent bounty by WillAffleckUW · · Score: 1

    Problem solved.

    --
    -- Tigger warning: This post may contain tiggers! --
  26. Housekeeper by Anonymous Coward · · Score: 0

    Like classifying someone as your housekeeper when they are actually your mistress....

  27. Re:people are angry at salaries/ perks of state em by Anonymous Coward · · Score: 1

    You clearly demonstrate this point

    unfortunately the average american is a hate filled small minded seflish bigot

    with this remark

    question is why anyone sane and intelligent ever votes republican.

  28. Just wait until this is the good old days... by Bob_Who · · Score: 1

    It could be worse, you could be vested in their pension program. The fact is that human beings are not well equipped to manage 7 billion human souls on earth today. The economics is too complex and dynamic for our mammalian lives and tribal clans to fully conceive. Even IF everyone was fair and agreed to a system, it would likely fail to function for very long before short stick ends were everywhere. Perhaps the idea that there are perhaps one billion jobs for seven billion people should be a clue. The fact that half of those are not profit driven is the next clue. There will never be enough money around for society to be smooth and steady for long. If money is what we lack, then everyone is poor. We need to learn to exchange a little more social currency, because central banks will always be hoarders. Quantitative easing is a numbers game, but its hardly sufficient at building highways or educating brain surgeons for very much longer. My point is that, yes you're absolutely right, it ain't like it was, and its not even close to how you think it might be. Its a dynamic force that is frankly getting to be too much to manage without tremendous flexibility and open mindedness, until we simply surrender to nature. Nature is, after all, where this all started. Human nature may be where it stands, for the time being. Like in Cairo, Athens, Rome - the Golden Ages come and go. The Empire must be getting a little week at the knees if they outsource IT.

  29. You're boned. by Lumpy · · Score: 1

    The state can do whatever it wants. If you think laws apply to the state and federal departments then you were either born yesterday or have no clue as to how the real work actually works.

    --
    Do not look at laser with remaining good eye.
  30. Staffing Company Issues W-2's by Anonymous Coward · · Score: 0

    Usually in these situations the government agency issues a 1099 to a staffing company. The staffing company issues W-2's to these people because they are employees of the staffing company. How do you know these people receive 1099's?

  31. Get stuck in the elevator and bill $100HR rounded by Anonymous Coward · · Score: 0

    Get stuck in the elevator and bill $100HR rounded up. So 61 min = 2 hours.

  32. Re:people are angry at salaries/ perks of state em by Anonymous Coward · · Score: 0

    Your own comment is surprisingly hate filled. There are effectively no private sector employers who offer pension plans. There is no way to ask for or get the same benefits as public employees in the private sector. Unions in the private sector were unable to protect those benefits and ultimately unable to preserve their own existence in most cases. Economists who study the issue have concluded that the benefits of union membership come at the expense of non-union workers. In the case of public sector unions it is obvious to see since they are tax payer supported. Given that public sector unions get those benefits primarily through directly influencing the political process, primarily of the Democrat party, it is perfectly reasonable for the tax payers to revolt against being exploited. People who vote Republican are voting strategically.

  33. your bad: negotiation by Anonymous Coward · · Score: 0

    Obviously the real issue is that you didn't
    negotiate a contract that compensated
    you financially for the benefits you think
    you deserve but are not getting.

  34. Define it~ by Anonymous Coward · · Score: 0

    So when faced with a situation like this I use my own laptop (virtualize theirs) and show up when I darn well please - when they complain I show them the IRS page. And instruct them they should consult with the IRS.

    "You are not an independent contractor if you perform services that can be controlled by an employer (what will be done and how it will be done). This applies even if you are given freedom of action. What matters is that the employer has the legal right to control the details of how the services are performed." http://www.irs.gov/Businesses/Small-Businesses-&-Self-Employed/Independent-Contractor-Defined

    I tell them that I, as an independent contractor, "has the right to control or direct only the result of the work and not what will be done and how it will be done", we can renegotiate the contract if they would like changes

  35. Re: Sit down, shut up, and do your work... until.. by rickb928 · · Score: 1

    $1200 is not a high deductible, and hasn't been for some time.

    I was a W-2 contractor for 7 years until corporate policy forced them to convert me. Got my 2009 15% pay cut back, fully covered the difference in health insurance, and got paid vacation - net win. No more or less job security.

    But I've also done 1099 work, and it took me a while to get the hang of it. When I did, I focused exclusively on getting the work done. This gave me really mornings, really early end of days, and most Fridays off. And, I know kinda weird, but I terminated my own contract when there was no more to do. They never intended to hire me on full time, which I knew..

    A 1099 should be able to:

    Use whatever tools they choose to do the work, with reasonable accommodations for systems, languages, platforms, etc in the IT world.

    Work wherever hours they find necessary, while being available for reasonable meetings, collaborations, and reports.

    Be expected to deliver a definable project, product, or service with a definable timeframe or deadline.

    Not be expected to manage employees or other contractors unless part of aaaspecific team defined in advance.

    Not be expected to perform work that can be defined by hours worked, especially if that definition could lead to defining some work as overtime.

    It is possible that the state may exempt itself from federal law, but I wouldn't count on it. I've also been part of three DOL enforcement actions, two for overtime and one for disclosure and failure to pay benefits and severance according to contract. It's not always a good idea to try to rat out an employer. Labor may also audit you. And then the IRS piles on. It does not get better very fast.

    Given a choice, I might prefer 1099 in the future, but a W-2 contractor is not a bad gig, so long as you understand that you probably have lightly or no wage security, no tenure, and so no real security at all other than the client's integrity and your agency's lack thereof.

    --
    deleting the extra space after periods so i can stay relevant, yeah.
  36. Are you contracted with the state or a company? by mr_mischief · · Score: 2

    If you're through a consulting company that sells your time to the state and managed like an employee then you're not an employee of the state. You're an employee of that consulting company. The arrangement between the state and your employer is one thing, and your arrangement with the consulting company is another. Your company can't sell your time on a regular schedule to the state and then tell you you're a contract employee. That doesn't mean the state can't contract for a company's employees to be assigned to work on-site at the state's offices, though.

    If you're on contract with the state directly, then they should treat you like a contractor. If they manage you as an employee, they need to employ you internally. If they want to keep you as a contractor, they should give you those freedoms.

    You need to know that this isn't just about you. Allowing yourself to be treated as an employee and compensated as a contractor weakens everyone else's position, too. In fact, there's probably a union like AFSCME that would be very interested to talk to you about this.

    1. Re:Are you contracted with the state or a company? by wmelnick · · Score: 1

      A union will steal your money, pay their own people and give you nothing in return. Do not fall for the union scam.

    2. Re:Are you contracted with the state or a company? by Anonymous Coward · · Score: 0

      This is Mcarthyism. He was censured by the senate, one of the few times we have done so.

      Unions protect you in exactly these situations. Yes, they put up procedures that may annoy you.

      "Amusing Ourselves to Death" written many years before our time, explains very well the dangers of falling for what politicians tell you.

      --Sam

    3. Re:Are you contracted with the state or a company? by Anonymous Coward · · Score: 0

      This is of course what the people who are doing this to you, and also want to steal your money, would have you believe. Unions are like every tool -- they can build houses or smash in heads. Assuming all hammers are bad just makes you look stupid.

    4. Re:Are you contracted with the state or a company? by mr_mischief · · Score: 1

      You may notice I never suggested the OP join a union. I mentioned that the union would be interested in how he's being classified at an agency that undoubtably has some union employees.

  37. The state should have to eat its own dog food by Anonymous Coward · · Score: 0

    By making strict laws about classification of workers, the state has decided that a high level of protection for workers is more important that the freedom of business and private citizens to make their own decisions about how they buy and sell their time. The state should lead by example, showing that their rules are not overly onerous while protecting workers. If they do not, how can the citizens be sure that the state is correct in its assessment?

    You should pursue this matter as a form of civil action. If, eventually, any money is recovered beyond lawyers' fees, you can always donate it to charity (a jobs training program would be a good fit).

  38. States have 11th Amendment Immunity from FLSA by Anonymous Coward · · Score: 0

    You are probably out of luck.

    flsaovertimelaw.com/tag/eleventh-amendment-immunity/

    --AC

  39. it's the State, stupid by bill_mcgonigle · · Score: 1, Insightful

    the whole point of having a State is that there is one set of rules for State actors and another set of rules for everybody else. Qualified immunity, massive pollution, wasting resources, welching on promises, breaking every damn law on the books when it furthers wealth and power; how about you go work for a business that's not so wildly corrupt? - heck, even on Wall Street you'd do better.

    --
    My God, it's Full of Source!
    OUTSIDE_IP=$(dig +short my.ip @outsideip.net)
  40. It's been that way for 30+ years by msobkow · · Score: 1

    Every single contract I worked on save for one required that you use the company's equipment on site due to security requirements of the job. Every single one.

    This isn't some weird "breach of regulations" -- it's the norm.

    WTF are you bothering with a lawyer for? Aren't you paid enough to just do your damned job and STFU? You think you're going to "cash out" with some big lawsuit?

    Even if you do cash out, expect to be blacklisted by every agency across the country when they find out what you've done, and never to work again.

    --
    I do not fail; I succeed at finding out what does not work.
    1. Re:It's been that way for 30+ years by Anonymous Coward · · Score: 0

      Sure, security requires full-time, on-site work. But then why not use employees?

      If using IC's for that is the norm, then why is it illegal?

    2. Re:It's been that way for 30+ years by msobkow · · Score: 1

      So you're going to ban outsourcing, then?

      --
      I do not fail; I succeed at finding out what does not work.
  41. Re: Sit down, shut up, and do your work... until.. by Anonymous Coward · · Score: 0

    Stop complaining become a corp you and wife are empolyees of the corporate. Pay yourself a salary. Setup has and be done.

    Talk like you know the score, but don't do the math.

  42. 3 words to describe the state of this matter in CA by Narcocide · · Score: 1

    Rampant.
    Illegal.
    Despicable.

  43. Your lawyer is giving you good advice by Anonymous Coward · · Score: 0

    Unless you really want to be a poster child, your lawyer is giving you good advice. Advice, which, BTW, is against their short term financial interest. Good attorneys often suggest not suing, and just moving on, particularly when you can do so with minimal/no cost to you.

  44. Where is the harm? by peterofoz · · Score: 1
    Unless the lawyer has nothing better to fill his time, he's not getting interested unless there is some kind of harm, which is the basis of a suit and payment of damages (that's how they get paid).

    Still, I'm with you on this - I really hate when politicians and agencies or anyone for that matter imposes rules on others, then exempts or ignores the rules themselves.

  45. Why not take business expenses on your tax? by billrp · · Score: 1

    Since you are a 1099 you are able to deduct business related expenses from your tax return that you cannot otherwise take as a W-2. Eg, a computer at home, internet access, cell phone, professional memberships, publications, conferences, all to keep up with your profession. You might be able to deduct some car expenses but since you drive to the same location every day this is generally not allowed. Are you required to wear any specific clothes, like no jeans or shorts? If so then those can be expensed. Also the costs of some insurance can be expensed. And you don't need to be an LLC or have a fed tax ID. There's a long list of expenses, and I suspect your income is modest so the chance of an audit is very low.

  46. S O V E R E I G N I M M U N I T Y by redelm · · Score: 1

    ... look it up. The idea is that lawmakers are not bound by the very laws they write because they could have written themselves immunity. IOW, the boss rules.

    This is deeply unAmerican and rooted in fealty to power rather than all power flowing from the people and laws (& Constitutions) first and foremost binding governments. That states (and the Feds too!) [ab]use this convenient feature merely shows them to by tyrants, perhaps fearsome but unworthy of respect.

  47. SOP by Anonymous Coward · · Score: 0

    (Standard Operating Procedure). It's what all big institutional rule-makers do: break the rules they apply to everybody else. Examples:

    Centuries ago, the Catholic Church (acting as a quasi-federal government of Europe) was telling everybody how to live, but then its rich members (who like rich people everywhere think they have the right to buy everything) were allowed to purchase "indulgences" (certificates authorizing them to sin) - this was one of the things that led the German monk Martin Luther to rebel, and started the Protestant movement.

    The Supreme Court and the Congress have ordered all Americans to participate in "Obamacare", but the Court exempted itself (there is a small effort underway in Congress to force the justices and their staffs into the system) and the members of congress hoped the public would not notice that the biggest bi-partisan act in congress of the past four years was that the thousands of Capitol Hill staffers were all quietly classified as small business employees working for businesses (a new fiction that each office on the Hill is a small business) small enough to be exempt from all those employer mandates.

    The congress passed laws decades ago which banned stock trades based on information not available to the public (insider trading) - but they exempted themselves even though they (via closed-door hearings, tips from their campaign backers, etc) have access to more data than anybody else in the country including the knowledge of all the future regulations they plan to pass, products and services they plan to ban, and subsidies they plan to award.

    The presidents of the United States have, for nearly a century, denied security clearances to users of hard drugs like cocaine - Our current president has exempted himself.

    The federal government in the US has gone insane regulating so-called wetlands to the extent that bits of personal property that get water on them once in a decade have been labelled as wetlands and construction on them banned - but half of Manhattan and most of Washington DC are sited on ACTUAL swamps and the government says nothing.

    This is illustrative of two points:

    1. Big organizations are corrupt and dangerous by nature (Democrats refuse to accept this about government, and Establishment Republicans refuse to accept this about corporations).

    2. By their own actions, these organizations prove that their rules are unjust, unworkable, contrary to efficiency, etc. When asked, they will always explain that they HAD to avoid their rules for some good reason, but often those reasons are the very same ones the people they apply the rules to would also cite for needing relief!

  48. I don't see the problem by thegarbz · · Score: 1

    Either you're an employee and get loaded up with benefits of being an employee, or you're a contractor and you get loaded up with benefits of being an employee for the contracting company. That is not a misclassification.

    Now if you're a one man contractor then I would question your own policies. Not sure what the laws are like where you are but in some countries even if you act as your own sole contractor you are effectively your own employee and have an obligation to pay your own retirement fund, pay your own sick leave / holidays and provide yourself benefits. Naturally all this is made up by the higher fees contractors charge companies compared to how much an employee is paid. The difference is overhead and benefits.

    Or am I missing something.

    1. Re:I don't see the problem by tomhath · · Score: 1

      or you're a contractor and you get loaded up with benefits of being an employee for the contracting company

      If you're a contractor you get more cash, but you need to spend some of it on yourself for things like health insurance and vacation. All the employer has done is shift the administration of those benefits from their HR department to you. In the end it should be a wash, but some people like to complain.

  49. That stopped 20 years ago by rsilvergun · · Score: 1

    where the hell have you been? Plus you're not paying into unemployment. It's not there for when _you're_ laid off, it's there to keep you from competing with desperate people when _they_ get laid off.

    --
    Hi! I make Firefox Plug-ins. Check 'em out @ https://addons.mozilla.org/en-US/firefox/addon/youtube-mp3-podcaster/
  50. There's a reason unions strike by Anonymous Coward · · Score: 0

    Once the status quo becomes set, there are no other clients who would pay properly or provide benefits. Everyone pays unsustainably and the workers become indentured due to an inability to gather the resources to be independent.

    I know it probably doesn't affect you now (hell, you can *afford* legal advice) but in the long run it'll affect everyone.

  51. widespread by Goldsmith · · Score: 1

    The federal government and universities do the same. For all the talk about fair employment, I don't know that many leaders of large bureaucratic organizations have the ability to enforce fair employment practices on their people.

    The bottom line is that offices that do this are not going to be good places to work, whether you're a contractor or an employee. I've worked in government for really great managers who were required by law to do stupid things to their employees. Government managers are often balancing contradictory requirements, and you end up with situations like this all the time.

  52. What state by kilodelta · · Score: 1

    I've worked two state jobs as a permanent employee. One with the RI Department of Attorney General, the other with the RI Department of Secretary of State.

    But I'll lay dollars to donuts you're talking about a state in the south.

  53. That's great and all by rsilvergun · · Score: 1

    now what happens when you're 50 an you actually need medical care? You've been in and out of contract gigs your whole life and you're past your "sell-by" date now. Good luck getting one of those cushy jobs with benefits after your relentless pursuit of a quick dollar causes them all to go away.

    You're also skirting unemployment insurance. Remember, unemployment is _not_ for you to take. It's there so you don't end up competing in a race to the bottom with desperate wage slaves when the economy takes a minor dip. That way when you're contract comes up for renewal they don't say "that's great cayenne8, but we've got 80 folks with your same skill set offering to do the job for 1/3 the pay. Will you take 1/6?".

    --
    Hi! I make Firefox Plug-ins. Check 'em out @ https://addons.mozilla.org/en-US/firefox/addon/youtube-mp3-podcaster/
  54. The IRS isn't ignoring them by rsilvergun · · Score: 1

    The Republican party intentionally underfunded them to prevent enforcement. They also gave them a directive to audit a certain percentage of low income tax earners as part of the "compromise" that came with the earned income tax credit from the 90s. Both of these are verifiable facts. We've got a substantial part of the political power base that wants to lower wages. Discuss amongst yourselves if that's a good thing or not.

    --
    Hi! I make Firefox Plug-ins. Check 'em out @ https://addons.mozilla.org/en-US/firefox/addon/youtube-mp3-podcaster/
  55. Did you agree to be a contractor or an employee? by tompaulco · · Score: 1

    If you agreed to be an employee and they classified you as a contractor, then sue them. if you agreed to be a contractor knowing full well that you would be responsible for your own FICA, then live with it.
    I don't understand why the government gets to decide if somebody is an employee or a contractor. If two parties agree to an employee or contractor relationship, then their agreement should determine the status of their relationship. A lot of these lawsuits involve people who knowing signed up as a contractor and even got paid extra, then later, after not paying their taxes, decided to sue the company for, well, abiding by the terms of their contract.
    This has made it difficult for people who want to be contractors to enjoy long term contracts. I have multiple clients myself, but if I wanted to have one client that I worked for 40 hours per week at their office with their equipment, at their direction for 50 years and be paid on an hourly contract basis and pay my FICA, why should I not be allowed to do that? Nanny State-ism. That's why.

    --
    If you are not allowed to question your government then the government has answered your question.
  56. We didn't always do that by rsilvergun · · Score: 1

    there was a time after WWII that we didn't tolerate it. It's also coincidentally the best time in US History economically.

    One thing I know for sure, the "State" is really our only hope. I can't think of anything that can stand up to the might of a Mega-Corp. Maybe the won't; maybe they'll always just be in cahoots. But I'm watching local gov'ts get picked apart one by one. They just don't have the power. If you want to get something done in America you use the federal gov't. That's how we got rid of Apartheid (we called it "Separate but Equal") and that's how we got Gay Marriage. I've never once seen a bunch of small disconnected states do anything about real oppression. It always took a bigger, better organized power stepping in.

    --
    Hi! I make Firefox Plug-ins. Check 'em out @ https://addons.mozilla.org/en-US/firefox/addon/youtube-mp3-podcaster/
  57. Why the changes by AHuxley · · Score: 1

    The "managed very differently" aspect is just a new set of fancy expensive contractors with new security products to sell or rent.
    Gov using contractors to watch over skilled contractors as they help gov upgrade to expensive new security.

    The covert side of the gov and mil wanted the skills but no questions, no paper trail, no project names, multiple social security numbers, social media magic and an instant job interface between the public and private sector. That was harder to create but offers stories to different covert groups long term.

    The private sector also needed ways to escape of paying all the local wages. Why not just hire a local cleared front company and have a long tail of cheap supply globally while meeting all the paper work. Disassembled and recreated with all the local paperwork. Multi nationals could then front for mil/gov grade work using lower wages and have the same legal standing for any mil/gov contract without traditional domestic costs.

    The result is a perfect method of hiding projects, hiding global support by contractors for different projects, keeping costs hidden, reducing local wage claims and making top staff feel they are not been tracked.
    At their level as they have passed all the tests and are trusted alone, with vast plain text databases...
    Cleared staff feel they have an open database to transverse looking up projects and names without been logged. How they use access has been watched for decades.
    The freedom to look at open, plain text databases allow 'everyone' to look at fake names, fake projects, fake tasks, fake support requests that are all traps waiting for any sign of been searched for at any level on any network.
    The national media attention about leaks might induce random cleared staff to look up a wide variety of projects and names... and that can be noted.
    The new classifying system is not designed to be understood. It is designed to understand and test every cleared worker all the time while offering freedom to the private sector, hide covert needs from all and keep security contractors funded.

    Its not a new idea. The UK tried it in the 1910-40's, rapid expansion, new technology, experts, rushed language support. The win was understanding most embassy work/codes in use in Europe as used. The downside is the loss of internal vetting control long term.

    --
    Domestic spying is now "Benign Information Gathering"
  58. When a government itself breaks the law... by JRHodel · · Score: 1

    I think someone has to do something about that. Should do something about that. Because it is wrong, and because governments need to be held to the letter of the law if we're to be safe from them.

    I managed a software development shop for a state agency until I retired, and we had contractors in the shop for large development projects, as there was a huge resistance to actually hiring people. So we would spend $140,000/year for really good developers, instead of hiring someone as a FTE for $50,000.

    One governor had the HR agency implement a requirement that we ask interviewees what their minimum salary would be to join our shop, and then would approve a max offer several thousand dollars lower than that minimum. That made it kind of impossible to hire anyone with good skills and an understanding of their market worth.

    I think you should hang these law breakers out to dry. But you need to understand that whistle-blowers often are hung out to dry themselves, and frequently have career ending events as that process winds up.

    --
    Think of the Irony!
  59. Talk to the union by sgunhouse · · Score: 1

    Government employees have a very strong union that would probably love to have you (and all people in similar positions) as members (which would be required if you are declared employees). So they'd have their legal team handle it for you. Don't care to be a union member? Better drop the question then ...

  60. Stand up for your fellow man. by Khyber · · Score: 1

    It is people that would listen to what this lawyer says that are responsible for the rest of their fellow man having to suffer such bullshit treatment.

    You shouldn't be asking shit of us, here. You should be suing and forming a class-action against the state, despite what your counsel has said (they don't want you to file because if you refuse to settle and win, you just cost them a fuckton of possible future work. They are NOT going to look out for your best interests. If they did, our legal system would not be as fucked as it is now.)

    --
    Still waiting on Serviscope_minor to wake up to fucking reality and realize that Jessica Price isn't going to fuck him.
  61. Vote them out by Anonymous Coward · · Score: 0

    Just vote them out.

    It's not like you're in a two party system without options.

  62. Re:S O V E R E I G N I M M U N I T Y by Anonymous Coward · · Score: 0

    This is a necessary evil to maintain any semblance of government. Without the concept that the government would be able to do approximately bugger-all. Jail time? Suddenly the goverment can't do that because it's kidnapping. Compelled to follow a judicial ruling against you? Your options are jail (kidnapping) or fines (theft/mugging.) How exactly do you intend to have a functional government without the concept of sovereign immunity? The idea is that the people agree on where the government is allowed to break the laws, that's where you get the idea of power stemming from the people.

  63. Different in different places by dbIII · · Score: 1

    I've been there, and the tax rules where I live drove me out. I think it was a requirement that I get no more than 70% income from a single source per quarter that drove me back to being an employee - full time plus more than 30% extra time somewhere else sucks along with juggling two employers who want you NOW when anything more than trivial turns up. Expect something like that in your area some day when tax authorities want to crack down.

  64. If you like your government employment contract... by Anonymous Coward · · Score: 0

    Welcome to the new Normal people. This is what a criminal government looks like and does.

    What's good for you, is.

    Now shut up and sit down before I rendition your ass to Guantanamo indefinitely!
    (really, if they're willing to 'disappear' so many people, do you really think your piss-ant employment contract means anything to the powers that be?)

  65. Who is harmed? by egarland · · Score: 1

    You say the goal is "to cut costs", but what costs?

    If the cost-savings comes from undermining a union, they probably would have sued already, so I'm guessing it's not that.

    This shouldn't be a tax dodge, because 1099s should end up paying roughly the same federal and state tax, so it must be a reduction in actual compensation. Assuming that's the case, those being harmed look to be the 1099 employees themselves. As such, it would seem like a class action suit would be the appropriate course of action. If the state itself isn't willing to abide by the rule, it shouldn't expect others to either. The state should either follow the rule or repeal it.

    --
    set softtabstop=4 shiftwidth=4 expandtab nocp worlddomination
  66. What does this say about your own worth? by grzblatt · · Score: 1

    This behavior is nonsense and must be objected to!! What does allowing this and going along with it say about your belief in your own worth and the worth of others. By going along with this, you support a belief that you are worthless, a cog in the machine. You get to keep what you give away, which means you get to experience for yourself what you belive and pass on to others. You are MUCH more than it, and if you could see yourself in the totality of what the universe sees you as, you would be amazed. Object in whatever way you can, for your sake and everyone else's sake. Ask the universe to see what is TRUE (not what they "believe" and agree to") about yourself and everything around you. You do need to get very quiet and listen, but by persistence you will ultimately see it. If a sufficient number of people object, at least meantally, this kind of behavior can be undone.

  67. It looks like OP is entitled to benefits by Anonymous Coward · · Score: 0

    See Venture Insurance Services' "Independent Contractor Criteria" at http://ventureins.com/index.php/faqs-mainmenu-29/16-faqs/107-independent-contractor-criteria

    Regardless of who actually hands over the paycheck, it looks like "The State" is the actual employer here, and so is probably liable for pension, insurance, sick leave, vacations, and holiday pay.

    This can make a huge difference later in life, or if a "contractor" (i.e., an actual if unacknowledged employee) has an accident or falls ill. (Who's gonna pay for your chemotherapy, for example - you, out-of-pocket, or your actual employer's health insurance plan?)

    See the 20-item list at the link above for clarification.

  68. Re:S O V E R E I G N I M M U N I T Y by redelm · · Score: 1

    A good point even if it is reductio ad absurdam. The key concept is "due process". Yes, sometimes a goverment (really the adminstration) may have cause to break some laws in the furtherence of law enforcement. These should be strictly limited and subject to open judicial and legislative oversight. "Sovereign immunity" is the analog to writs of assistance (general warrents) which the Courts have partially quashed with the interesting doctrine of "fruit of the poisoned vine".

  69. Latin proverb ... by kbahey · · Score: 1

    Quod licet Iovis, non licet bovis ...

    What is legal for Jupiter, is not legal for an ox ...

  70. 1099 vs Temp... by Anonymous Coward · · Score: 0

    A nuclear plant has 600-700 on staff year round but when they shut down for maintenance; they bring in 1500-2000 workers for the project.

        In the 1990s; The IRS came down hard on the companies that were contracted to fill such slots. For a long time Health Physics personnel were "independent consultants" and paid with a 1099 classification. There is a line between "consultants" and "employee at will". Two companies were fined to bankruptcy over improper classification of workers. These days when I take a contract; withholding taxes, FICA, and insurance are automatically taken out. Big whoop, but less paperwork for me than getting a 1099.

        The IRS has probably changed their interpretations of the tax code multiple times since the early 1990s but back then they applied the standard that if you worked over 90 days for a company in a calendar year doing the same or similar work you could not be considered a 1099 employee but a "temporary: employee complete with income tax withholding, employer contribution to FICA, etc.

  71. Do not want to stop it ..yet! by Anonymous Coward · · Score: 0

    Given the way employment law works, employer is screwed!. Can work under their rules and RETROACTIVELY complain years later. Burden of proof against any employee claim is on the employer. It is their responsibility to keep records. So can work and retroactively file a claim for damages/compensation. They will be liable for FICA taxes. I do not know if you can get any payments you make back though. They will be liable for retroactive overtime pay(burden of proof of hours is on the employer--they need to disprove your hours claimed), if applicable as well as any state required employee benefits. If injured, you file for workman's comp and make the retroactive employee claim at that time. This is likely to end in a class action against the state when the potential fees become high enough. Unfortunately, the taxpayers get screwed in this process and not the incompetent government officials responsible.

  72. Re:people are angry at salaries/ perks of state em by adhdengineer · · Score: 1

    It's a race to the bottom, unfortunately.

    I think there are employers (mostly small and medium sized) who want to offer better benefits and pay to their employees but they can't because it would make them too un-competitive.

    This is where legislation can play a role, by forcing companies to have things like pensions, minimum wages, paid vacation time etc. It allows companies to be on the same level playing field. Obviously it can't go too far; a $100/hr minimum wage with 100 paid vacation days per year is taking a bit far.

    European style centre right here btw.