Healthcare Employers Should Review Federal Rules on Independent Contractors

John Thompson was quoted in Modern Healthcare Magazine on July 17, 2015. The article “Healthcare Employers Should Review Federal Rules on Independent Contractors” discussed how the U.S. Labor Department is warning companies not to misclassify some workers as independent contractors instead of full-fledged employees.

John discussed why healthcare companies need to make sure their employment practices are in compliance.

More and more doctors are directly employed by health systems rather than independent contractors. However, physicians are exempt from the Fair Labor Standards Act, so the latest guidance doesn't apply to them, said John.

Employers that don't heed the Labor Department's guidance could face investigations and lawsuits from the department or their employees. John said recent media attention to the rule could encourage more employees to sue regarding their employment status.

John added, however, that the document does not establish new requirements but rather is intended to remind employers to be aware of their responsibilities for their workers. “What it mainly does is draw together a number of lines of thought that many at the Labor Department and many courts have been applying.”

To read the full article, please visit Modern Healthcare Magazine.