Wage-Hour Audits Increase

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Federal lawsuits alleging that employers violated the Fair Labor Standards Act are up more than 30 percent in the past five years, and both state and federal labor officials are bringing more actions charging that employers violated minimum wage and overtime rules or avoided payroll taxes by improperly classifying employees as independent contractors.

According to the New Jersey Department of Labor, audits of employers conducted by the agency identified underreported taxes of $27.2 million in 2011, up from $25.2 million in 2010, $20.9 million in 2009 and $18.3 million in 2008.

EANJ Webinar September 27th - Employee or Independent Contractor?