Many so-called "gig economy companies" operate in West Virginia and all across the country. Some businesses, such as Uber or Lyft, offer ride-sharing services to customers. Companies like Grubhub or DoorDash deliver food from various restaurants to people's homes or offices. While most of the gig employees work as independent contractors, there is a growing concern that the companies who hire them are guilty of misclassification.
There are many truck drivers in West Virginia and all across the country who are considered to be independent contractors at their places of employment. Often, companies use contractors as part of their workforces in addition to their full-time employees. While this arrangement can be beneficial to all parties involved, it can also be abused. Managers may begin treating their contractors just as they do their "regular" employees and violate labor laws. Recently, a major transportation company settled a lawsuit that stemmed from misclassification of its truck drivers as independent contractors.
Many companies in West Virginia and across the nation utilize independent contractors in addition to their regular workforce of employees. However, businesses often stumble when employing contractors, since the practice can often result in misclassification of workers. A major manufacturer of baked goods headquartered in another state recently settled a lawsuit that alleged the company had misclassified its distributors as contractors.