Independent Contractor Agreement For Truck Drivers

Work in full for businesses. The work of independent contractors is often more peripheral to the company; For example, an insurance agency would entrust an IT expert with the management of its networks (independent contractor). Since drivers` work is an integral part of trucking activity, there is clearly an employer-employee relationship. Another factor in the independent contractor/staff test is “the qualification required in the job concerned.” Analysis: If the qualifications required for a job are very high, the probability that the workforce is an employee is even lower. Example of facts that indicate a working relationship: the driver works for companies as long distance drivers. Example of facts that indicate an independent contractor relationship: Person works for the company`s website database, which is used for pilot management. There are many factors that are involved in the decision as to whether a particular truck driver is an employee or contractor independent of a particular trucking company. These factors must be applied on a case-by-case basis, and there are many grey areas where one factor is in one direction and another in the opposite direction. That`s why recruiting experienced truck accident lawyers can be so important to sorting through this information. In recent years, many trucking companies, such as ABC Trucking, have been reviewed by public and federal authorities.

Agencies such as the IRS or their state`s work allowance can and will challenge the classification of independent contractors. Once a driver is considered a worker, the trucking company is responsible for the employer`s share of payroll tax (6.2% social security, 1.45% Medicare), paid leave, disability and workers` compensation costs. Ask yourself if you or another trucker you know has been misclassified as an independent contractor? Here are some of the criteria used by the California Labour Commissioner to determine whether a truck driver has been wrongly classified as an independent contractor. These factors were directly derived from a labour commissioner`s decision that a driver was a worker and not an independent contractor. This particular employee received well over $100,000 in his claim for unpaid business expenses against the trucking company for which he worked. Suppose the average driver makes $50,000 a year. Reclassification as an employee could cost the trucking company: Below you will find the factors that must be used by a court or labour commissioner to determine whether an owner-operator is an employee or a true independent contractor. Note that all of these factors are important, but the most important factor is the control that the company has over the driver. Driver gain or loss. Because the drivers did not have trucks, they did not have a “stake.”