8 - How To Avoid The Risk Of Employee Misclassification with April S. Goodwin
Many small business owners are putting themselves at risk of employee misclassification. This happens when they hire someone as an independent contractor but lead the relationship like the person is an employee.
Not only can employee misclassification lead to fines, fees and penalties from the IRS, but it can also lead to expensive legal cases.
In this episode of the Growing Your Team podcast, Florida based lawyer, April S. Goodwin discusses why employee misclassification can lead to legal involvement and how to avoid this issue within your small business.About April:
April S. Goodwin is the owner and founder of The Goodwin Firm, a boutique law firm in Largo, FL focusing on employment matters throughout the state of Florida.
Ms. Goodwin has been an attorney in Florida for over 18 years. She received her undergraduate degree from The Ohio State University and her Juris Doctorate from Ohio Northern University. She became interested in the law in high school after reading about free speech issues in the music industry, but in college turned her interest to helping employers with matters relating to employee management.
After law school she gained priceless experience in litigating a wide variety of cases and legal issues while working for the State of Florida and private law firms. In early 2015 she founded The Goodwin Firm where she has been able to return to her passion to help small business owners navigate the landmine filled field that is employment and labor law.In this episode, you’ll hear:
- How every business, even local businesses, cross state lines and what this means from your business. (5:00)
- Why you need to pay attention to California employment laws even if you are not located within or hiring people from that state. (7:35)
- The difference between employees and independent contractors, and why you as an employer or worker cannot contract employee rights away. (10:07)
- How the integral roles within your business can usually only be filled with employees. (12:20)
- Examples that show whether someone you're hiring is an employee or an independent contractor. (13:14)
- Why a signed contract does not protect you from employee misclassification. (17:25)
- How misclassifying an employee can lead to significant legal problems and cost up to six-figures to correct. (18:23)
- What your next step should be if you determine you misclassified an employee. (31:52)
- Why ending a relationship because a team member questions their employment status can put you in even hotter water. (33:47)
Website - www.goodwin-firm.com
Phone: (727) 316-5333
Instagram: Instagram.com/thegoodwinfirm/Related Episodes:
Hear more about the difference between employees and independent contractors in Episode 7: What’s the True Difference Between Employees & Independent Contractors?Next Steps:
Do you want support and encouragement as you hire and lead your perfect-fit team?
Join the Growing Your Team Facebook community! With the support of Jamie and other small business owners, you can grow a business that’s bigger than you!Subscribe and Review:
Have you subscribed to the Growing Your Team podcast yet? If not, subscribe today so you never miss a future episode.
I have so much information to share with you. Plus, I have a long line of guests who you will not want to miss!
Also, if you have not done so yet, please leave a review! By leaving a review, you help other small business owners find this podcast and give them the knowledge to grow and lead their team members.