WCB Abuse Investigation Unit v. Morrissette
June 23, 2014
CategoriesEmployee / er Definitions Employee / er Definitions Penalties
Penalties Employee v Contractor Definitions §324(3)(B)
Summary from the Troubh Heisler Attorneys
Hearing Officer Dunn imposed a $10,000 civil penalty against Wilfred Morrissette d/b/a LA Cab Service pursuant to §324(3)(B) for failing to secure workers’ compensation benefits for his taxi drivers. The panel affirmed, concluding that there was competent evidence in the record to support his finding that the drivers were employees rather than independent contractors. The facts that the drivers operated taxis pursuant to a written “Taxicab Lease” under which they paid six dollars per hour to lease the vehicles and otherwise kept all fares collected, and that the drivers had full control over which fares they accepted and what hours they drove, did not compel a finding that they were independent contractors. The evidence that supported the finding that they were employees included: they did not supply their own vehicles; they did not pay for repairs or maintenance; they did not provide insurance; Morrissette provided them with cellphones; they were not permitted to hire assistants; and Morrissette was in the regular business of providing taxi services.