The fiscal year 2013 budget recently proposed by President Obama earmarks $14 million in funding for the U.S. Department of Labor to “detect and deter” companies from misclassifying employees as independent contractors, with $10 million to be given as grants to states to uncover instances of misclassification and recoup unpaid taxes and $4 million for the DOL to launch investigations into misclassification. The DOL’s 2013 budget devotes funding to hiring another 35 full-time investigators to handle misclassification, with the agency noting that it will maintain an “increased presence in those industries where the misclassification of employees as independent contractors is prevalent.” Therefore, companies would be wise to ensure right now that they are in compliance with rules governing independent contractors.
Exclusive Guide to Factoring for Staffing Companies
Whether your firm needs working capital to hire new talent, maximize a marketing opportunity, or extend client payment terms, factoring allows staffing companies to convert unpaid invoices into cash today. Download now to get answers to the top 10 questions related to accessing working capital via invoice financing.