Independent Contractor vs. Employee: Worker Classification in Construction

Worker classification in construction is one of the most-audited tax and labor-law areas in the country. A worker misclassified as an independent contractor when they should be an employee creates unpaid payroll taxes, unpaid workers' comp premium, unpaid overtime, and personal liability that can follow company owners even through bankruptcy. Here is how classification actually works, the multi-factor tests that apply, and the construction-specific considerations.