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Re: contractor or employee: where's the line?


I dont take this as an argument. How else can we learn if we dont pick each other brains. Were just talking.

Dictating time frames is just 1 factor. If your realtionship has 1 of the factors, it does not make you an employee. They look at the whole picture. Someone giving you a deadline to fullfill an order is all the way different from controling your day to day operation. Let me give you an example of why these rules need to be enforced.


Comcast has new triple play roll out. It takes off big. They need help and decide to bring in contractors. They need a company that is able to take 100 orders a day, that have been scheduled.

Contractors A is a contractor from NECA using IBEW workers paying union scale of 30/hr + bennies.

Contractor B is a non union contractor using employees who make 20/hr + bennies

Contractor C is a contractor who uses the "so-called" subcontractor model. Paying piece rate.

Contractor C is able to underbid the other 2. The other 2 pay hourly,OT, pay for benefits, pays employer tax, and everthing else an employer is required by law to pay. When they make thier bids, they bid with all of this in mind.

Cable C illegally avoids paying for medical, OT,employment tax, and the other things employers are suposed to pay. Which would be fine if he used real contractors. But if he used real contractors he would not be able to meet the needs of the contract because Comcast needs a company who can take on pre-scheduled work, which basically means they need a contractor who uses employees so that the contractor can dictate when, where and how these techs work. Contractor C bids the lowest and wins the contract because he breaks the law. Contractor C is able to work guys 12 hours 6 days a week and pay them 1100/wk, no beenies. This is much lower than what techs would get if A or B got the bid. Get the picture?

Contractors A & B obey the law and are at a disadvantage when bidding against the C types. Contractors A & B pay all their taxes. Contractor C creates a tax burden. As time goes on, the A's and B's of the world stay away from Comcast work because cable contractors use illegal business models and are able to low-ball on the bid. Soon the industry is filled with companies who only use this illegal business model because its the only way they can compete. Since everyone in the business uses this model the false misconception thats its legal begins to bloom.

Low balling on bids hurts the entire trade. It brings down the value of our work. Mis-classification of workers cheats the government out of taxes, and cheats the worker out of things that are due to him. The key word is CHEAT. We now have industry that uses this illegal business model. Say what you want, but its illegal. What does that say about the caliber of companies who will enter this business. Chances are if they illegally mis-classify you, they will illegaly find ways to not pay you. (Charge Backs)

You ever wondered why work from DTV, DISH, Cable MSO's, DWAy, and now WB have all seen nothing but rate drops for installers. What do they all have in common? They are contracted in an industry that mostly uses the "so-called" sub business model.
This is CABL.com posting #172192. Tiny Link: cabl.co/mSXs
Posted in reply to: Re: contractor or employee: where's the line? by fusion42
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Re: contractor or employee: where's the line? DTV Installs 8/3/2006 11:09:00 PM