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asked to go from hourly to "piece work" (remodel construction) California

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  • asked to go from hourly to "piece work" (remodel construction) California

    BTW I made it to company meeting for those who read my last post. I was told in this meeting that myself and a couple other working foremen will be starting a new pay system. This is basically us given a set price we will make for the job and/or projects within the job. I am not interested in this change (will detail reasons later) and am wondering my rights to say "not interested".

    To me and based on how they started this plan with another employee, it is turning us into sub-contractors but having no choice on price and taking 100% responsibility for the contractors project. They are doing this because they are loosing money and want us to basically be their buffer on this. The big problem is they have major issue's with getting us proper job plans and materials on EVERY job prior to this and the major reason we run into issues. Those issues would become our loss. I want to figure out what are my rights in not accepting this change and still protect my unemployment.

    Thanks in advance for all the help on here recently, you guys are awesome for taking the time on here!

  • #2
    Prior thread OP references is http://www.laborlawtalk.com/showthread.php?t=278464
    Too often we underestimate the power of a touch, a smile, a kind word, a listening ear, an honest compliment, or the smallest act of caring, all of which have the potential to turn a life around. Leo Buscaglia

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    • #3
      Check out this link: http://www.irs.gov/businesses/small/...=99921,00.html. It's very hard to change employees to ICs because if they passed the test for employees before, they're likely to pass it now. The IRS has a huge preference for designating workers as employees, because the taxes are more likely to be paid under that scheme. Your employer may not be aware of the implications for them wrongly classifying you as an IC - they might have to pay the back taxes, and WILL have to pay steep penalties as well as your social security, worker's comp, unemployment (if the state gets involved), etc. Companies have been known to go bankrupt over this issue. Their legal fees will be enormous, and they won't win.
      I am not an attorney, and don't play one on TV. Any information given is a description only and should be verified by your attorney.

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      • #4
        I am not sure they wanted to label it IC, but it sure looks like the same thing. In the meeting, they mentioned a guy doing this and how well he is doing. Not sure if they wanted him to say this, but he mentioned bringing in a helper (out of his pocket) to complete on time. That does not sound like an employee to me. I noticed our tile guy brings in "helpers" as well and is an employee but the paid labor comes out of his pocket.

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