Worker misclassification is a serious problem in the construction industry that often goes unchecked and unpunished. Penalties for misclassifying employees as independent contractors can be severe, but unfortunately, the risk of getting caught has historically been minimal.
They payoff for unscrupulous business owners who purposely misclassify workers can be enormous. It’s a classic risk vs. reward scenario where, for the most part, the rewards for purposely misclassifying workers as independent contractors far outweighed the risks of getting caught.
