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Wisconsin latest state to join feds in misclassification fight

January 21, 2015

Wisconsin signed a memorandum of understanding to crack down on misclassification of employees as independent contractors, the US Department of Labor reported yesterday. The duration is for three years.

“Working with the states is an important tool in ending misclassification,” said Karen Chaikin, the Wage and Hour Division’s regional administrator for the Midwest. “These collaborations allow us to better coordinate compliance with both federal and state laws alike.”

Wisconsin is the 18th state to sign a memorandum of understanding with the DOL. Florida signed a similar independent contractor misclassification agreement last week, joining Alabama, California, Colorado, Connecticut, Hawaii, Illinois, Iowa, Louisiana, Maryland, Massachusetts, Minnesota, Missouri, Montana, New York, Utah and Washington state.

“Misclassification deprives workers of rightfully earned wages and undercuts law-abiding businesses,” said David Weil, Wage and Hour Division administrator. “This memorandum of understanding sends a clear message that we are standing together with the state of Wisconsin to protect workers and responsible employers and ensure everyone has the opportunity to succeed.”