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Healthcare employers should review federal rules on independent contractors
Modern Healthcare

The U.S. Labor Department is warning companies not to misclassify some workers as independent contractors instead of full-fledged employees. Experts say healthcare companies need to make sure their employment practices are in compliance.

David Weil, the department’s administrator, issued a guidance document this week emphasizing to employers that although independent contractors are widely used, “most workers are employees” under the Fair Labor Standards Act, and therefore deserve protections such as a minimum wage, overtime compensation, unemployment insurance and workers’ compensation. Workers’ compensation coverage can be particularly important to healthcare workers, who suffer from one of the highest rates of musculoskeletal injuries among all U.S. industries.