Employee misclassification can significantly impact wages, overtime eligibility, benefits, and tax obligations. When employers incorrectly label workers as independent contractors or exempt employees, they may avoid paying required compensation and benefits. If you believe you have been misclassified, consulting with The Best NJ Employment Lawyers can help determine whether your rights have been violated.
Castronovo & McKinney, LLC focuses exclusively on employment law and represents workers throughout New Jersey in wage and hour disputes, including misclassification claims. From its Morristown office, the firm serves clients in Bergen County, Essex County, Middlesex County, Morris County, and surrounding communities.
Independent Contractor vs. Employee
In New Jersey, the classification of a worker as an employee or independent contractor is governed by the “ABC test.” Under this standard, a worker is presumed to be an employee unless the employer can demonstrate all three elements:
- The worker is free from control or direction in performing the work;
- The work performed is outside the usual course of the employer’s business; and
- The worker is customarily engaged in an independently established trade or occupation.
If an employer cannot satisfy all three prongs, the worker may be legally considered an employee entitled to wage protections.
Exempt vs. Non-Exempt Employees
Misclassification also occurs when employers improperly label employees as exempt from overtime requirements. Under federal and state wage laws, only certain employees who meet specific salary and job-duty criteria qualify for exemption.
Simply paying a salary or assigning a managerial title does not automatically exempt an employee from overtime protections.
Consequences of Misclassification
Misclassified workers may lose access to:
- Overtime pay
- Minimum wage protections
- Unemployment insurance
- Workers’ compensation coverage
- Employer-sponsored benefits
In addition, misclassification can affect tax liabilities and long-term financial security.
Common Industries Affected
Misclassification claims frequently arise in industries such as construction, healthcare, transportation, sales, and technology. However, no industry is immune from scrutiny under New Jersey’s strict classification standards.
Employers sometimes adopt uniform classification practices that affect multiple workers, potentially leading to collective legal action.
Proving a Misclassification Claim
Establishing misclassification typically requires detailed analysis of job duties, level of supervision, payment structure, and business operations. Written contracts alone do not determine status; courts examine the actual working relationship.
Documentation such as emails, schedules, performance expectations, and compensation records may serve as important evidence.
Available Remedies
Workers who prevail in misclassification cases may recover:
- Unpaid overtime and back wages
- Liquidated damages under wage statutes
- Reimbursement of improperly withheld expenses
- Attorneys’ fees and litigation costs
New Jersey law provides strong enforcement mechanisms to deter improper classification practices.
Strategic Employment Law Advocacy
Misclassification disputes often involve complex legal standards and detailed factual review. Castronovo & McKinney, LLC provides focused and strategic representation designed to protect workers’ rights and financial stability.
With extensive experience in New Jersey employment law, the firm remains committed to delivering powerful guidance and proven results for employees facing wage and classification disputes.
Contact Castronovo & McKinney, LLC
Castronovo & McKinney, LLC
71 Maple Ave
Morristown, NJ 07960
United States
Phone: 973-920-7888
Email: tom@cmlaw.com
Hours:
Monday – Friday: 9:00 AM – 6:00 PM
Saturday – Sunday: Closed
The firm proudly represents clients throughout New Jersey, including Bergen County, Essex County, Middlesex County, Morris County, and the cities of Hackensack, Newark, New Brunswick, and Morristown.
