Misclassifying Contractors Cost This Company $42 Million

After an investigation, the United States Department of Labor has announced that Holland Acquisition Inc. will pay $42.3 million dollars in back wages and damages to 700 workers who were misclassified by them from August 2012 to April 2019. The company failed to fully compensate these employees for overtime hours worked plus did not keep accurate records about how much they worked during that time.

The SIA article quotes Wage and Hour Acting Administrator Jessica Looman saying: “When employers misclassify employees as independent contractors and fail to pay workers their hard-earned wages, we must hold them accountable under the law.”

Read the full story on SIA here.

If you found this resource helpful, help us out by sharing it on your favorite platform:
Alex Steeno

Alex Steeno

Senior industry analyst, adviser of multiple hypergrowth agencies, SaaS, and tech-enabled service platforms, Alex Steeno regularly contributes insights related to industry trends, growth marketing, and management consulting.

Industry insights, straight to your inbox.

Enter your email and you’ll be the first in the know when we publish new insights.

Ready to get started with GreenLight?

Mastering the management of today’s 50 million freelancers and contractors is no simple task. That’s why we created GreenLight.

We’re human-cloud experts that build solutions designed for the freelance economy. We take the complexity out of managing contract workers so you can make the gig economy work for you.

Connect with us on LinkedIn

Stay in the loop as we share exciting company updates, industry trends, upcoming webinars, partnerships, and more.