Independent Contractors Agreement -- or are you an "employee"

QUESTION:My client operates a business. It has both independent contractors and employees. Recently he read about a situation where an independent contractor was found to be an employee. The costs for both the worker and the client was not pleasant.

I asked my client what documentation he has in place to establish the principal / independent contractor relationship. To my surprise, he said he had nothing in writing.

My client wants to make sure his independent contractors are correctly classified. How does an Independent Contractors Agreement strengthen the principal and contractor relationship? ANSWER: The obligations of an employer in an employer / employee relationship are vastly different to those of a principal in a principal / independent contractor relationship.

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[bharfarar]

Here in the U.S. employers use every unethical tactic to keep from having full-time employees -- even when the demand for them is clear. Moreover, American companies routinely layoff fulltimers and replace them with contractors...the law be damned. State and Federal labor agencies turn a blind eye, and the ONLY recourse a fulltime (former) employee has is class-action lawsuit, inasmuch as the practice is clearly illegal. More than anything, this cancerous practice has devastated America. Thanks.