When companies first start up, it’s common, and often efficient, for them to rely on independent contractors. Contractors bring flexibility, lower overhead, and minimal compliance burdens. That works when you’re small. But when contractors end up working exclusively for your company, with you deciding what they do, when they work, and how they operate, you’re risking misclassification, and that opens a legal can of Read More
Why Salary Alone Doesn’t Make an Employee Exempt
Businesses often assume that paying an employee a salary means they don’t have to worry about overtime. That’s a costly mistake. The Fair Labor Standards Act (FLSA) sets strict requirements for classifying employees as exempt from overtime pay, and salary is just one piece of the equation. A recent court decision on the Department of Labor’s (DOL) salary threshold changes has added another layer of confusion, making Read More
New Georgia law raises a question: is your independent contractor now your employee?
In May 2022, House Bill 389 (HB 389) was signed into law and became effective as of July of this year. HB 389 brought significant updates to the definition of employment in Georgia, ostensibly expanding the class of persons who qualify for employer contributions to unemployment. But, HB 389 can be expected to have broader ramifications for employers, including a potential expansion liability for unpaid taxes, minimum Read More
