Self Independent Contract Essay

556 Words3 Pages
In general, Uber drivers in New York State are mostly classified as independent contractors. Based on the US Supreme Court tests and criteria (United States v. Silk, 331 U.S. 704 (1947) and NLRB v. United Ins. Co. of America, 390 U.S. 254(1968)), the Internal Revenue Services (IRS), the Fair Labor Act Standard (the Economic Realities Test), the National Labor Relations Act, the US Department of Labor, and finally the New York State Department of Labor, most of drivers working in the Taxi industry (Yellow Cab, Black Car Service) and particularly for Uber Technology are considered self-employed -independent contractor-. Indeed, for most businesses, classified their worker as an independent contractor yield multiple advantages such as money saving from the nonpayment of contributions for unemployment insurance and workers’ compensation funds. Thus, classify a worker as an independent contractor means less financial burden for companies and other businesses. In practice, under the Common Law, the following seven factors (test) have been proposed by the US Supreme Court to determine if a worker should be classified as an employee or…show more content…
Even in the existence of duly signed (legal) documents stating the nature of an agency relationship, common law dispositions still allow each party to challenge the quality of the agency relationship (employee or independent contractor) before a court. In fact, this is the case in this paper “NY Administrative Findings Backs Employment status for ex-Uber drivers”. Even though the NYS Department of Labor fundamentally recognizes the classification of Uber drivers as Independent contractors, yet; they have agreed to analyze the case of two ex- Uber drivers, Levon Aleksanian and Jakir Hossain, applying of unemployment
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