A CLOSE CALL: How Uber is Changing the 1099

The recent upswing in app based driving services like Uber have blurred the line between employees and independent contractors.   

At first glance, it would seem that Uber drivers are clearly independent contractors.  Drivers enjoy the flexibility of when and where they accept assignments, while Uber is able to minimize business costs since the usual benefits afforded employees are absent (overtime pay, minimum wage, meal breaks, unemployment insurance, workers' compensation, etc.).  However, recent holdings have altered any clear distinction between the two classifications.  The result is a multitude of so called independent contractors claiming to be employees entitled to benefits that traditional employees are guaranteed.

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