EMPLOYMENT LAW

Employee Misclassification

Protecting Workers from Improper Classification and Lost Wages

Cohen Law Group represents employees across California who have been improperly classified as independent contractors or exempt employees and denied critical protections such as overtime pay, meal and rest breaks, and employee benefits. California law imposes strict standards on employers, and misclassification is a common tactic used to avoid legal obligations.

Call (310) 747-1883 ♦  Se habla español

What Is Employee Misclassification in California?

Employee misclassification occurs when an employer improperly labels a worker as an independent contractor or exempt employee to avoid legal obligations.

Under California law, most workers are presumed to be employees. Employers must meet strict legal criteria to classify a worker otherwise. Failure to do so can result in substantial liability.

Even seemingly technical classification errors can lead to significant financial recovery for affected workers.

We are California Employee Misclassification Attorneys

If your employer classified you as an independent contractor or exempt employee when you should have been treated as a non-exempt employee, you may have a claim under California law. Misclassification is often used to avoid paying overtime, providing meal and rest breaks, and covering payroll taxes and benefits.

California has some of the strictest worker classification laws in the country. Employers must properly classify workers under the ABC test and other legal standards. When employers get this wrong, employees are often denied significant compensation and protections.

Our California employee misclassification lawyers represent workers across the state who have been improperly classified and are seeking recovery, accountability, and full compensation for lost wages and benefits.

Employment Law Attorney discussing Misclassification case with client

Common Employee Misclassification Violations

Employers cannot avoid wage and hour obligations through improper classification. Common violations include:

Misclassification as an Independent Contractor

Employers may label workers as contractors to avoid taxes and labor protections.

  • Failure to meet the California ABC test
  • Control over work schedules and duties despite “contractor” label
  • Work performed within the usual course of the employer’s business

Misclassification as an Exempt Employee

Employers may improperly classify employees as exempt to avoid overtime and break requirements.

  • Failure to meet salary threshold requirements
  • Job duties that do not qualify for exemption
  • Improper reliance on job titles rather than actual duties

Denial of Overtime and Breaks

Misclassified employees are often denied core protections.

  • No overtime pay for extended hours
  • Missed meal and rest breaks
  • No premium pay for break violations
  • No accurate tracking of hours worked

Failure to Provide Benefits and Protections

Misclassification can result in loss of important employee benefits.

  • No workers’ compensation coverage
  • No unemployment insurance eligibility
  • No employer-paid payroll taxes
  • Loss of employer-sponsored health or retirement benefits

How Courts Evaluate Misclassification Claims

Courts and agencies apply specific legal tests to determine proper classification, including:

  • The ABC test under California law
  • Degree of control exercised by the employer
  • Whether the work performed is within the employer’s usual business
  • The worker’s independence and business operations
  • Actual job duties versus job title or agreement

Accurate classification depends on the reality of the working relationship, not how the employer labels it.

Damages and Remedies for Employee Misclassification

Employees who prevail in misclassification cases may be entitled to substantial compensation, including:

Economic Damages

  • Unpaid overtime wages
  • Meal and rest break premiums
  • Reimbursement for business expenses
  • Lost benefits and compensation

Additional Statutory Penalties

  • Waiting time penalties for unpaid final wages
  • Wage statement penalties
  • Penalties for willful misclassification

Attorneys’ Fees and Costs
In many cases, employees are entitled to recover attorneys’ fees and litigation costs.

Time Limits to File a Misclassification Claim

Misclassification claims in California are subject to strict deadlines. Depending on the claim:

  • Statutes of limitation may limit how far back wages can be recovered
  • Different legal claims may have different filing deadlines
  • Delay can significantly reduce or eliminate recovery

Prompt legal evaluation is critical.

Speak With a California Employee Misclassification Attorney

If you believe you have been misclassified, you should speak with an experienced employment attorney as soon as possible.

Early intervention can preserve evidence, properly classify your employment status, and maximize your financial recovery.