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Words on Wise Management

The Risks of 'Independent Contractors'

March 7, 2013

Many employers classify workers as “independent contractors,” believing the relationship is mutually beneficial. In fact, if a worker agrees to an independent contractor relationship with an organization, there is no risk to him. However, that isn’t the case for employers. Strengthened enforcement by both the U.S. Department of Labor (DOL) and the IRS poses numerous risks for employers involved in this type of arrangement. 

In this Words on Wise Management article, FHSG expert Joseph Godwin discusses why employers should be careful employing an 'independent contractor'.