“Independent Contractor” My Ass: How to Stop Wage Theft Through Worker Misclassification

Every year, wage theft robs millions of American workers of billions of dollars—and worker misclassification is one of its most widespread, evil forms.

There are crystal-clear guidelines on the difference between independent contractors and employees. And a lot of employers steal from their workers by ignoring them. Today, I’m going to break the differences down for you. See if you recognize yourself, a friend, or a family member in these wage-theft-vulnerable positions.

If you are in a misclassification situation, your employer has stolen your wages. But there’s good news! You have recourse to get my two favorite things: money and justice! You can seek tax reimbursements, backpay, unpaid overtime, worker’s compensation benefits, and more for the years you were misclassified. And you can report your exploitative employer and get them into a wet mess of trouble.

Not to toot my own horn, but did you notice how I managed to say “misclassification situation” and not follow it with “truly an inspiration, it’ll be a sensation, we’ll have a Dalmatian plantation?

And did you further notice that I didn’t go on a secondary digression about how Anita from 101 Dalmatians can absolutely get it? Yeah, that’s because I’m a professional. I’m on-topic as shit. Plus, it’s not really even debatable…

If you say she's not a babe, that's some worker misclassification right there.

Note: Sorry, international readers! We’re talking exclusively about American labor law today. Go grab a non-cheeseburger food item of your choice and come back next week.

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The Expensive Difference Between Recreation and Recovery

Bitchlings, I am exhausted. Yet I’m also kind of… bored? Or not bored, but lacking in enrichment. The zoo enclosure that is my life is simultaneously stressful and dull in a way that I had trouble putting into words until recently.

As alert readers know, I recently read Barbara Sloan‘s excellent book Tipped: The Life Changing Guide to Financial Freedom for Waitresses, Bartenders, Strippers, and All Other Service Industry Professionals. Check out our interview with the author right here!

Reading Tipped gave me an epiphany: my exhaustion, my boredom, and my money stress are all symptomatic of a larger problem. When I’m not working, I’m spending too much time and money recovering from that work and not enough time and money simply in recreation. From Barbara’s book:

“Winding down after a shift, because of the shift, is a work expense.”

Barbara Sloan, Tipped
Poor Tiana does nothing BUT recover from work on her few hours off.

In other words, spending time recovering from your work is a cost of that work. Spending money recovering from your work is a cost of that work. And that’s a problem.

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Season 4, Episode 11: "My boss kept my tips. Is that legal—or did she steal from me?"

Season 4, Episode 11: “My Boss Kept My Tips. Is That Legal—or Did She Steal From Me?”

“My boss kept my tips.” Wow. Ernest Hemingway needed six words to tell a complete dramatic story. But we just told a complete horror story in only five words! That means we’re 120% more powerful and effective than a Pulitzer Prize- and Nobel Prize-winning writer. Although anyone who had to read Hills Like White Elephants in high school already knew that.

“I can’t argue with the math. These girls completely cucked me.”

– Ernest Hemingway on Bitches Get Riches

But you know who can (and will) argue with math? Bosses who steal tips from their employees!

Today’s letter writer is a tipped employee. When customers leave tips intended for them, only a fraction are actually getting passed along. Instead, their boss is keeping most of that money for herself. She claims it’s fair, because they were told it was the policy upfront. She also claims it’s legal, because the employees are paid above minimum wage. Is she right?

Bad employers gain cover to steal from their employees when the employees don’t understand their own rights. You’ll finish today’s episode with knowledge of the one—ONE!—crystal-clear situation where an employer can take their employee’s tips.

Don’t work in a tipped capacity? Listen anyway, and share it with someone who needs it. Just as it’s the employee’s right to be tipped, it’s your right as a customer to know your tip money is reaching them. We’re all stuck in this system together. And it’s only by mutual support that we can make it better for everyone.

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