The fact of the matter is that every prime contractor is required to carry in upwards of $2mil of general liability (as MSO's stipulate) as well as workers comp. Contract companies can and typically do deduct the percentage of your pay that is equall to the % they as a company have to pay, they could also charge a handling fee in addition to the % if they so choose. Sub contractors can be allowed to obtain there own GL insurance and name both the contract company and the MSO as additionally insured on their certificate of Insurance (COI). The problem with that however is that "most" of those that obtain their own GL aren't dilligent enough to keep their COI updated or active in their company files as required by most contract companie. Workers compensation that tech typically obtain themselves (at the prices mentioned above) usally make the tech self exempt. Meaning if you get hurt, oops your bad. no insurance to coveer you.
As to one of the previous statements above that said that you would be considered an employee by the labor board if you wear a uniform, report for work at times and dates set forth by the prime, and must complete said work with certain materials, and within certain time frames, etc. They are unfortunately correct. This is one of the prime reasons that pay rates have trended down over the past several years. It seems as though all of the newbies in the biz would rather work the law than work a job. Meaning if a tech gets terminated for poor workmanship or any other valid reason, that even though in most cases they (the tech) have signed a subcontractor agreement, they run their sorry tales straight to the unemployment office (government cheese). This is the reason most respectful contract companies have been forced to be employee based, therefore greatly increasing their overhead. Be thankful that you have a job, do the job that you have correctly, and to the best of your ability and you will never go hungry, or choose the route that several have mentioned (bite the hand that feeds you) and you will find out that the world of cable is a very tight knot community and has very little tolerance for cheese chasers.
Re: Cargebacks, Workmans Comp, and General Liabili
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