Misclassification Seminars
Iowa Workforce
Development's Misclassification Unit
Prepared To Educate and Enforce
Misclassification of workers as “independent contractors” rather
than “employees,” is a growing problem in Iowa and across the
nation. Businesses that misclassify their workers typically fail to
pay unemployment insurance contributions. They fail to withhold
regular payroll and withholding taxes for their employees. These
businesses might also violate minimum and overtime wage, contractor
registration, or other employment and labor laws. They might fail to
provide workers compensation coverage to their workers. Iowa
employers must report wages to Iowa Workforce Development’s
Unemployment Division. Iowa employers must report wages to the Iowa
Department of Revenue for state withholding taxes.
When employers
misclassify workers, they avoid paying these taxes. They underbid
honest, law-abiding businesses that pay all taxes owed. Employers
who misclassify workers could pay significant penalties and fines
and may face criminal charges. It is more important than ever to
learn to properly classify workers and to follow state and federal
laws. A Misclassification Unit within IWD’s UI Division focuses on
this issue, providing extra help to protect workers, law-abiding
businesses, and taxpayers. A web site provides general information,
FAQs and contact information for reporting businesses that appear to
misclassify workers:
http://www.iowaworkforce.org/misclassification/.
Please contact the
Misclassification Unit to arrange an educational presentation on
this topic for your professional organization, industry group, local
chamber of commerce, service organization, worker organization,
agency or the general public. Contact the Misclassification Unit by
telephone at (515) 281-3191 or (800) JOB-IOWA (800-562-4692), or
e-mail at
Misclassification@iwd.iowa.gov, or by regular mail at
Misclassification Unit, Iowa Workforce Development, 1000 East Grand
Avenue, Des Moines, IA 50319.
Educational outreach
on worker misclassification so far in 2010 includes fifteen
presentations for a variety of groups around the state. The
organizations sponsoring this education are state agencies, human
resources and payroll professionals, building trades groups,
homebuilders and farm business associations, developers and
accountants. Locations include Dubuque, Griswold, Waterloo,
Oskaloosa, and the Des Moines area.
Iowa Misclassification Home Page