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Gig Company That Misclassified California Workers Agrees to $2.1 Million First-of-its-Kind Settlement

The city of San Francisco announced last week what it described as a “groundbreaking agreement” with Qwick, an app-based job platform that provides hotel and restaurant workers in California. The city sued Qwick last year for allegedly depriving workers of employment protection by misclassifying them as independent contractors instead of employees. The agreement would require the company to reclassify the workers as employees, pay them restitution and accrued sick leave, and pay a civil fine. If the court approves the settlement, the city says it will be “the first injunction in California requiring a gig economy staffing company to permanently reclassify thousands of employees.” At the city’s request, ASA assisted in the litigation by providing a declaration to the court attesting that classification of temporary workers as employees, not independent contractors, has long been the industry standard.

Firing Employees Enters a New Era: From Private Dismissals to Global Online Audiences; Employment Attorney Offers Tips on Safe, Sensitive DismissalsM

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