This area of consultation has to do with how federal and state agencies assess the employment status of those who perform services for an employer as independent contractors. It is presumed by most state statutes that a worker is an employee and the burden of proof rests with the company utilizing such services to prove otherwise. Consultech has represented many companies that customarily use the services of independent contractors before both the IRS and the states and depending on the state and the nature of services being provided, can be an up hill battle when trying to prove that workers are independent contractor vs. employee.

Consultech can advise on ways which can help re-enforce an independent contractor relationship so that when audited or when a claim is filed, the issue can more easily be diffused. Unemployment claims or other claims that can be typically filed by employees but are filed by an independent contractor can raise the flag for an audit so a company has to be well positioned to defend the claim and depending how the claim is answered will dictate the impact such decision will have on the remaining independent contractor workforce. Companies have avoided many of these problems by engaging Consultech to review its operation and contracts, etc., and use of their independent contractor model. Many companies engage Consultech to represent them before the Federal and state governments in these matters. Millions of dollars have been saved by our clients as a result.