Subcontractors / Workers

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Our goal at GIGD is to set the standard for gig-economy work worldwide. Driven by passion, our standards are higher than most. We verify that every Gigd portal user, contractor and subcontractor are licensed, insured and have an established business. We make every effort to verify each Client or private home owner is indeed the owner and resident of the property represented and is legally authorized to bid and contract for the property improvements.

STATE CONSTRUCTION LINKS

Creating a GIGD account, requires documents that show you comply with State and Local Business and Construction requirements. These regulations vary by State. Links are available for reference as well as links to complete the process.

State Links -

• Construction Regulations

• Contractor Licensing

• Construction Regulations

• Lien Laws

• Insurance

• Joint Employer Ruling - NLRB

Utah

• One Stop Business Registration

• Construction Registry

• Workers Compensation

Critical Legal Distinctions Between Employees and Gig Workers in Construction

Disclaimer: This overview is for reference purposes only and not legal advice. Please consult legal counsel for specific guidance.

In the construction industry, worker classifications and relationships are defined by both state and federal standards. Below is a general reference of common terms used to describe various roles and business structures.

Common Terms

Business Entities:

• Company, Corporation, LLC, S Corporation, C Corporation, Sole Proprietor

Contractor Types:

• General Contractor (GC), Licensed Contractor, Registered Contractor, Employer, Business Owner

Worker / Labor - Employment Types:

• Subcontractor, Independent Contractor, Gig Worker, Employee, Freelance Worker, Temporary Worker, 1099 Contractor, W-2 Employee

Potential Illegal Employer / Employee - Contractor / Subcontractor Relationship terms :

• Misclassification, Joint Employer, Ghost Workers, Under-the-Table, Independent Contractor, Illegal Worker, Shadow Economy, Cash worker

Legal Frameworks and Employer-Worker Relationships

The Fair Labor Standards Act (FLSA) IRS, NLRB distinguishes between employee-employer relationships and contractor-subcontractor relationships, including Joint Employer scenarios. These distinctions affect responsibilities and legal obligations. Misclassification of workers can result in significant legal and financial consequences.

Key Considerations for Gigd Users relationships

1. Autonomy: GIGD portal users should not control the Worker’s hours, methods, or tools used. Unless specified or required in the bid or scope of work. Gigd portal users must have the flexibility to complete work independently.

2. Compensation: Gigd portal users compensation for projects should be determined through bids or contracts, not by hourly rates set by either party.

3. Multiple Contracts: Gigd portal users are free to work for multiple companies and should not be exclusive to any single contract or Gigd portal user.

4. Independent Business Operations: Gig portal users must operate independently and manage their own business activities.

Conclusion

Understanding the distinction between employees and gig workers is essential for legal compliance. Misclassification can lead to penalties and other legal issues. We recommend consulting legal counsel to ensure all work relationships are properly defined and compliant.