You need to get in touch with an employer-side labor lawyer to help you defend against these charges. There is no way anyone will give you advice in a public forum. There is also no way that anyone will give you advice without reviewing the facts of your situation. Having represented defendants in a number of labor matters, I can assure you there is no one-size-fits-all solution here. The DOL is often critical of independent-contractor relations, and will not hesitate to re-classify someone as an employee if it thinks a mis-classification has occurred. One also has to be careful with cross-claims that pit a company against an individual, because one never knows how a jury's sympathies will lie. Defending against this kind of matter is unfortunately a risk of hiring contractors and employees, and often a cost of doing business. In addition, sound legal advice is important, as it will help you gauge your exposure. while there may be little you can do as to this particular situation except defend against the claims, a good labor lawyer can advise you on strategies to minimize the risk that this happens again, such as ways to revise your employment and/or independent contractor agreements. If the lawyer prevents even one such claim, you will have reduced your legal expenses by thousands of dollars. I realize that "get a lawyer" is not the advice you wanted to hear. Unfortunately, there is no legal jujitsu that is generically applicable to employment claims. If there were, you can be sure you could find a ton of articles on the Internet about them.
Answered on Apr 02nd, 2014 at 7:08 PM