1 in 10 found to be an independent contractor

Statistics show 1 in 10 workers are independent contractors and why they cannot qualify for workers’ compensation benefits in Michigan.

NPR has published a fascinating article showing 1 in 10 workers are classified as independent contractors. That represents about 15.5 million people across the United States. Not included were people who supplement their income with jobs from the gig economy.

We found this article fascinating because of the challenges independent contractors face when they get hurt on-the-job. Workers’ compensation benefits are not paid and the independent contractor must deal with the consequences on his or her own.

Workers’ compensation is supposed to be a safety net for people hurt at work. It pays for medical treatment, lost wages, and vocational rehabilitation. Some employers try gaming the system by wrongly classifying employees as independent contractors. This is done through signed agreements and paying employees with an IRS Form 1099.

Our law firm constantly sees people who are struggling to pay medical bills and support their families. Michigan law uses a 20-part test from IRS revenue ruling 87-41 to determine employment status. It does not matter whether an employer says a person is an independent contractor.

We recommend speaking with an experienced lawyer whenever hurt on-the-job. It is possible that workers’ compensation benefits are available regardless of what the employer says. Understanding legal rights is the best way to protect yourself.

Michigan Workers Comp Lawyers never charges a fee to evaluate a potential case. Our law firm has represented injured and disabled workers exclusively for more than 35 years. Call (844) 316-8033 for a free consultation today.

Related information:

Are new workers’ compensation laws needed for Uber and Lyft drivers?

Photo courtesy of Creative Commons, by Julien_Dumont.

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