Independent Contractor Misclassification

You deserve the pay and protections of an employee when you are treated like one.

Being paid on a 1099 does not decide your legal status. Under the Fair Labor Standards Act and New York labor laws, many workers labeled as “contractors” are actually employees. Misclassification can cost you overtime, benefits, unemployment insurance, workers’ compensation coverage, and payroll tax contributions. When employers get this wrong, Legal Ally partner, Jessica A. Rounds, is ready to hold them accountable.

What Legally Counts as Misclassification?

Courts look at how the work is performed in the real world. You may be an employee, not a contractor, if the company:

• Controls your schedule, hours, or where the work is done.
• Requires you to follow company policies, training, or supervision.
• Provides the primary tools, equipment, uniform, or workspace.
• Sets your pay rate and forbids you from negotiating with customers.
• Prohibits you from working for competitors or requires approval to do outside work.
• Assigns you ongoing, core business tasks that are not project based.
• Requires time off requests, attendance, or performance reviews.
• Pays a flat day rate or straight time only with no overtime for 40+ hours.

No single factor decides the outcome. The more control the company exerts, the more likely you are an employee under New York and federal law.

Jessica A. Rounds Knows the Employer Playbook

Jessica previously defended large companies for several years. But now she represents workers. She understands how to prove control, connect payroll records to hours worked, and secure the back pay and penalties the law provides.

With Legal Ally on your side, you gain an advocate who knows how to convert titles and paperwork into the evidence that wins misclassification cases.

Misclassification Is Wage Theft

If you were denied overtime, benefits, or insurance coverage because you were labeled a contractor, you may be owed money. If you were punished for speaking up, that is retaliation and it is illegal in New York.

Read: Wage and Hour Violations in New York →

What Can You Recover in a Misclassification Case?

• Unpaid Overtime and Minimum Wage: The difference between what you were paid and what the law required.
• Liquidated Damages: Additional money on top of unpaid wages in many New York and federal cases.
• Value of Lost Benefits: Employer contributions and benefits you should have received.
• Expense Reimbursements: Tools, mileage, phone, and other costs you paid out of pocket.
• Attorney’s Fees and Costs: In many cases, the employer must pay your legal fees.
• Retaliation Damages: Lost pay and emotional distress if you were punished for asserting your rights.