Recently a California jury awarded 249 exotic dancers $6.5 million for unpaid wages. The jury found that their employer, Paradise Showgirls, violated the Labor Code that prohibits a Club from taking a portion of the dancers’ tips or requiring a divestment of payments for services. The exotic dancers are employees, not independent contractors, and
An independent contractor is a person who an employer hires to complete a project. The employer does not have control over how the project is completed. In California, a person hired to do something for the benefit of another is assumed to be an employee unless the employer proves otherwise. See, Labor Code, § 3357.
For example, …
Are You an Employee or an Independent Contractor?
It depends. Does your employer retain the right to control the how you perform your work? If yes, then you are an employee. If no, than you are an independent contractor. If maybe, then the Court will consider these additional questions:
- Are you engaged in a distinct business?
- Is your job usually done with or without
Does it Make a Difference if You are Called an “Employee” or an “Independent Contractor”?
Yes! The law provides greater protection for an employee than an independent contractor. Anti-discrimination, anti-retaliation and rest break laws protect employees not independent contractors. State agencies such as the Division of Labor may enforce the laws for employees; but independent contractors must seek remedies from the Court under contract law.