You Started Your Own Business 2 Years Ago, and Needed

Multiple Choice

You started your own business 2 years ago, and needed several part-time workers, but did not want and could not afford to pay them a minimum wage, or payroll taxes, so you classified them as independent contractors. At the time, a decent argument could be made that they were independent contractors, as there had been no rulings on your particular arrangement. Recently, for a business very similar to yours, the Department of Labor ruled that the workers of the business were employees, and not independent contractors. What should you do? ​

A) nothing, unless the Department of Labor challenges your arrangement
B) nothing, unless one of the workers complains
C) have all of the workers sign independent contractor agreements immediately
D) begin to treat them as employees, including paying a minimum wage, and withholding income taxes