Worker Classification Coordinated Enforcement Council
The Utah Worker Classification Enforcement Council, created by the 2011 Utah Legislature, is a multi-agency taskforce with the following purposes:
- to investigate the nature and extent of worker misclassification in Utah;
- assess the results of regulatory and law enforcement efforts;
- improve information sharing by member agencies; and
- recommend legislative changes.
Christopher Hill, Chair, Deputy Commissioner, Utah Labor Commission
Shelley Robinson, Deputy Director, Auditing Division, Utah State Tax Commission
Allyson Pettley, Bureau Manager, Department of Occupational & Professional Licensing, Utah Department of Commerce
Justin Williams, Unemployment Insurance Division Director, Department of Workforce Services
Paul Tonks, Assistant Attorney General
What is Employee misclassification?
Employee misclassification occurs when an employer improperly classifies an employee as an “independent contractor” or “member” of a Limited Liability Company (LLC) in order to avoid legal obligations that arise from the employer/employee relationship.
Who suffers when Employees are misclassified?
- Employee: Employees improperly classified as “independent contractors” or “members” of LLCs may lose protections of federal and state laws such as workers’ compensation, unemployment insurance, payment of wages (including minimum wage and overtime), occupational safety and health, and employment discrimination.
- Employers: By misclassifying workers in order to avoid their legal obligations, unscrupulous employers undercut their responsible, law-abiding competitors. In other words, employers who misclassify obtain an unfair competitive advantage against honest employers.
- The General Public: Employee misclassification leads to “cost shifting”—costs of workplace injuries or unemployment that should be paid by an employer are shifted to the government, insurance companies and others. This results in higher health care costs, insurance premiums, is a drain on public assistance and charity, and loss of tax revenues.
How to report employee misclassification
If you think an employer is misclassifying workers, please notify the Utah Labor Commission by calling (801) 530-6113 or by sending us a message below. Commission staff will discuss your complaint with you and then take appropriate action to investigate the complaint.