California Truckers Win $2.2 Million in Employee Misclassification Case

According to ThinkProgress.org, a California logistics company must pay $2.2 million to several short-haul truck drivers it misclassified as independent contractors.

A California state labor board ruled this month that by labeling the drivers as contractors, Pacer Cartage, Inc. was able to avoid paying the workers for things like time spent waiting at the port to pick up a load and reimbursements for job expenses.

ThinkProgress.org reported that the workers were not covered by the air Labor Standards Act, minimum wage laws and other worker protections because they were considered independent contractors.

In a ruling, the California Labor Commissioner’s Division of Labor Standards Enforcement (DLSE) found that the company “knew or should have known” that the drivers were employees rather than contractors and instructed Pacer to pay $2,214,496.39 in restitution, attorney’s fees and interest, according to ThinkProgress.org.

Pacer reportedly said it would appeal the ruling. Labor advocacy groups have said that there are reportedly 49,000 port truck drivers misclassified nationwide, meaning that “two-thirds of the profession is being robbed of due compensation.”

Locate a Los Angeles Employment Lawyer

California wage and overtime laws exist to ensure that employees are given fair and just compensation for the work they perform. Sometimes trucking companies try to skirt around overtime payments by classifying employees in various fashions, like as independent contractors.

If you have experienced unfair wage and overtime claims or have been wronged by your employer, you may be able to file a lawsuit to obtain compensation. Our Los Angeles employment attorneys can help you decide whether to move forward with your case. Call our office today to schedule a consultation at (310) 273-3180.

Kesluk, Silverstein & JacobLos Angeles employment attorneys

Source: http://thinkprogress.org/economy/2014/04/03/3422713/california-truckers-misclassification-labor/