EMPLOYEE MISCLASSIFICATION. In accordance with Governor Xxxxxx’x Executive Order #25 and the Task Force’s July 2019 Report, employers are required to properly classify their employees. Workers are presumed to be employees and not independent contractors, unless the employer can demonstrate all three factors of the “ABC Test” below: A. Such individual has been and will continue to be free from control or direction of the performance of such service, but under his or her contract of service and in fact; and B. Such service is either outside the usual course of business for which such service is performed, or that such service is performed outside of all places of business of the enterprise for which such service is performed; and C. Such individual is customarily engaged in an independently established trade, occupation, profession or business. This test has been adopted by New Jersey under its Wage & Hour, Wage Payment and Unemployment Insurance Laws to determine whether a worker is properly classified. Under N.J.S.A. 34:1A-1.17-1.19, the Department of Labor and Workforce Development has the authority to investigate potential violations of these laws and issue penalties and stop work order to employers found to be in violation of the laws.
Appears in 5 contracts
Samples: Contract Agreement, Scientific Products Agreement, Program Management Services Agreement
