Independent Contractors’ Rights to Workers’ Compensation Benefits

September 2, 2021 - 5:37 pm
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In all U.S. states, employers are required to pay for workers’ compensation insurance and offer coverage to any workers who are injured on the job, however, this requirement can be waived if a worker is considered an independent contractor instead of an employee. There are many benefits to working as an independent contractor, such as the autonomy to control your work schedule and duties, increased flexibility with job responsibilities, and more. Unfortunately, there are rights and benefits that you give up when you are classified as an independent contractor. Along with a lack of medical and dental insurance, you also relinquish your right to workers’ compensation coverage in the event you suffer from an injury while working. This can be concerning, especially if the injury is debilitating enough to keep you out of work for a significant period of time or racks up a large amount of medical and rehabilitation bills. 

Understanding how an independent contractor is defined can help determine what your rights are as an injured worker. In the state of Georgia, you are either an employee or independent contractor. The Georgia Department of Labor typically classifies an independent contractor as a person who:

  • Has entered into an independent contractor relationship through a written agreement
  • Has the right to exercise control over time, manner, and method of work
  • Is paid a set price per job rather than salary or hourly 

 

The majority of the time, though, workers’ compensation cases require a more in depth look into the differences between an independent contractor and an employee. In Georgia, this differentiation is based on the control test. The control test lists out a variety of factors that can help categorize an individual in one of these two categories. A few of the factors considered under the control test include:

Method of Payment

Although not weighted as heavily as many other categories, if you are paid in cash and must file a 1099, it is indicative that you might be an independent contractor. In addition, if you are an independent contractor, it is more likely that you are paid a negotiated set price for a job rather than a salary or hourly wage.

Uniform, Transportation, & Tools

If your employer provides a work uniform, transportation to your job, and/or the tools necessary to complete your work duties, you could fall under the category of employee. This is because much of the control and responsibility required to perform your work is relinquished to your employer, which is a common sign of an employer-employee relationship.

Employer Right to Hire/Fire

Independent contractors possess more control over time, manner, and method of work than employees. If you can choose what work you would like to perform and when you would like to perform it, you might not be considered an employee. Employees are subject to working under their employer’s discretion and can be fired if they choose not to perform their designated job functions. A general rule of thumb is if your employer has more control, the more likely you are classified as an employee rather than an independent contractor.

 

It is clear that the rights offered to independent contractors are different from employees in the state of Georgia. That being said, it is important to remember that the workers’ compensation system is heavily subject to interpretation and there are rarely straightforward cases. If you are an injured worker and your employer is not awarding you workers’ compensation benefits because of your work classification, contact Poirier Law Firm today. It is not uncommon for cases where an individual is originally denied workers’ compensation rights because they are classified as an independent contractor to turn into success stories because it can be proved that the worker is actually an employee under the control test. Your rights should be protected and honored just like any other worker and our firm will do everything in our power to prove that and fight for you! 

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