Posts Tagged ‘Subcontractors’

Illinois Construction Update: IDOL Crushes Contractor for Reportedly Misclassifying Subcontractors as Independent Contractors

Tuesday, December 22nd, 2009

By:  Jeffrey A. Risch, SmithAmundsen LLC

In what is believed to be the largest assessment issued by the Illinois Department of Labor (IDOL) under Illinois’ new Employee Classification Act (Act), a Chicago-area contractor has been penalized over $325,000.00 for treating its workers as independent contractors rather than employees.  IDOL recently issued its final determination and assessment under the Act against Elmwood Park, Ill. based Mega Builders Inc. The determination faulted Mega Builders for failing to classify 18 workers as employees and for also “scheming” to evade its obligations under the Act by forcing workers to incorporate.
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