Will Truckers Change The Workers’ Comp Landscape?

May 11, 2019
Sacks & Zolonz, LLP
Los Angeles uninsured employer’s attorney

If you are in the trucking industry, then the story we are going to talk about today is nothing you have not already heard. There is a debate raging in California about whether it should be easier to classify drivers are independent contractors and not employees.

At Sacks & Zolonz, LLP, we are here for you if you need a Los Angeles uninsured employers attorney. We know that you do what you can to provide a good work environment, but we also know that mistakes can be made. Let us get to work defending you.

What Is Going On?

When it comes to the trucking industry, it seems that they would like the ability to classify more of their drivers as independent contractors as opposed to employees.

Hold on, even as the state is cracking down on this practice in other industries?

Yes, even the state’s new method of determining who can be classified as independent contractors has kicked in. Most of you are probably familiar with the California Supreme Court Case Dynamex Operations West, Inc. v. Superior Court. In that case, the state adopted the “ABC” test of determining how an employee can be classified:

  1. Freedom from control over how to perform the service.
  2. Service is outside of the business’ normal variety or workplace.
  3. The worker is engaged in an independently established role.

Why would truckers want the ability to make more workers independent contractors?

When a worker is classified as an employee, the employer is on the line for payroll taxes, benefits, vacation time, sick leave, workers compensation and more. If a worker is classified as an independent contractor, an employer can save money by not having to cover these costs.

A failure to properly classify employees could land an employer in serious trouble. They could also be in trouble if they fail to provide workers’ compensation insurance to actual employees.

Under the California Labor Code, an employer who does not insure their employees could face:

  • $10,000 fine
  • up to one year in jail

Those penalties are on top of other fees that can be assessed for each employee that an employer had when they had no coverage as well as an order to stop business until the issue is resolved.

These are not allegations or charges anyone wants to deal with.

How We Can Help

As an employer, you know that you have certain responsibilities to your workers. However, we know that there are times with mistakes are made or lapses in insurance occur. If you are facing allegations by the state of California of not properly insuring your employees, you need to seek legal assistance immediately.

At Sacks & Zolonz, LLP, you will be getting a team with years of experience on your side. We understand these cases and will work to defend you so that you can get back to business as usual. When you need a Los Angeles uninsured employers attorney, you can contact us for a consultation by clicking here or calling 310-216-7778.

Related Posts
Uninsured Employers

Providing expert defense against fraudulent and frivolous workers’ compensation claims.

Insurance Carriers & Self Insured Employers

Providing comprehensive workers’ compensation defense to insured and self-insured Employers.