• What policy? A 1978 law limited how employers could be punished for misclassifying employees as contractors, but in 1986 an exception was made for engineers and computer workers specifically.
• The effect The exception affected workers like Stack, forcing the employees to have to pay back taxes if the IRS found that they were misclassified. It’s an issue Obama’s still trying to reform today.
• Joe’s issue Stack spent $5,000 of his own money lobbying to change the law to no effect. The change forced him to pay significant backroll taxes due to his contractor status. He compared himself to a slave. source

Posted by Ernie Smith • Permalink