Job misclassification

Misclassification of employees

Federal labor laws may classify you as an employee rather than an independent contractor based on your interaction with a company. This classification takes into account the amount of instructions you receive about what you can and cannot do at work. It may also depend on whether your relationship with the business is temporary or continuous. You can be an employee even if a company:

• Sends you a 1099 tax form
• Makes you sign a contractor agreement
• Verbally states that you are an independent contractor
• Pays you in cash or off-the-books
• Claims that being a contractor is standard practice
• Requires you to work offsite

Learn more about how employees and independent contractors are different under the Fair Labor Standards Act (FLSA).

Find out the myths and facts about job misclassification.

How to report job misclassification

Job misclassification affects your pay, access to employee benefits, and protection.

Report job misclassification to the Department of Labor:

• Call the Wage and Hour Division hotline at 1-866-487-9243.
• Contact the Department of Labor office near you.