North Carolina Workers’ Compensation Experts Concerned about the Fate of Independent Contractors
According to a recent story in The Charlotte Observer, companies across the state are taking the unusual step of hiring back formerly fired employees to work as independent contractors. This has North Carolina workers’ compensation experts concerned. Although many contractors have relationship with staffing companies like the Raleigh-based Manpower, staffing companies don’t usually provide the same kinds of benefits that traditional employers do.
The Observer news story tells the tale of several workers who lost their jobs and benefits – then got rehired as contractors through an agency. These workers ended up with the same bosses and salaries and responsibilities as they used to have – but without the benefits, North Carolina workers’ compensation coverage, sick days and paid vacations. In a time of belt-tightening, many employees view this option as the only way out of dire financial straits. But is this kind of arrangement exploitative or in violation of North Carolina Workers’ Compensation law?
It’s easy to demonize parties when analyzing these seemingly intractable problems with North Carolina Workers’ Compensation coverage. You could blame workers groups for not doing enough to ensure that independent contractors get fair treatment. You could blame employers for not doing enough to protect and value their workers. You could blame state agencies, insurance companies, and even the state and federal governments for enacting flawed policies or failing to enact appropriate policies to address the tactical problems on the ground.
If you are an employee (or loved one of an employee) who has been forced to do independent contract work and thus opt out of North Carolina workers’ compensation coverage, you are concerned with practicalities:
What happens if you get injured at work?
What happens if you got injured at work before you lost your job?
What should you do if your insurance company refuses to pay out your North Carolina workers’ compensation benefits?
To meet these challenges, it may behoove you to speak immediately with a knowledgeable North Carolina workers’ compensation attorney. The law is complex. And you may be entitled to significant benefits – particularly if your employer has misclassified you as an independent contractor when really you should be classified as a full-time employee.
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