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Wage and Hour: DOL and California to Collaborate on Reducing Employee Misclassification (03/27/12)

The U.S. Department of Labor in February signed an agreement with California secretary of labor Marty Morgenstern regarding the improper classification of employees as independent contractors. The agreement is part of the DOL’s Misclassification Initiative, which was launched with the goal of preventing, detecting, and remedying employee misclassification.

Under the agreement, DOL and the state will share information; coordinate enforcement efforts; and establish a method for exchanging investigative leads, complaints, and referrals of possible violations. The agreement will facilitate the exchange of statistical data on the incidence of violations of specific industries and geographic areas. The two agencies can also conduct joint investigations. Eleven other states have also signed agreements with DOL.