RE: Former UGA/Cornerstone Managers READ THIS

[rockandroll]

I certainly agree it is a gray area,
however the Judge has looked at the situation and ruled that in this case it was not a 1099 relationship
there were many issues brought ouf from where to be at what time, to what to say , to what not to say, etc. and if you ever spoke up you were relocated to the parking lot

 

[Cenla Agent]

There is a recent case I know of with Lowe's managers and sales specialists, which were on salary and not paid overtime and I believe the judge ruled that they were owed overtime. I had always thought if you were "salaried" instead of hourly that OT laws didn't apply but apparently it isn't that cut and dried.

 

[Cenla Agent]

I certainly agree it is a gray area,
however the Judge has looked at the situation and ruled that in this case it was not a 1099 relationship
there were many issues brought ouf from where to be at what time, to what to say , to what not to say, etc. and if you ever spoke up you were relocated to the parking lot

I was offered a job (non-insurance) last year under basically those cirucmstances. You were a 1099 but essentially treated as an employee. The 1099 status allowed the owner to get around having to withhold taxes, pay workers comp (which was a possible issue given the nature of the work), unemployment, etc. The owner also lied to the health insurance company telling them the contractors were employees in order to provide some health coverage, although the "employee" had to pay 75%.

 

[rockandroll]

from what I understand, the case was pretaining to overtime, and benefits, and such and was all awarded to the 14 from Cornerstone that were involved in this as far as I know which is really very little, the attorneys' filed over eight months ago

 

[Cenla Agent]

from what I understand, the case was pretaining to overtime, and benefits, and such and was all awarded to the 14 from Cornerstone that were involved in this as far as I know which is really very little, the attorneys' filed over eight months ago

Typically the plaintiffs in class action lawsuits (if that's what this is) wind up with chump change. Same can't be said for the lawyers...

 

[rockandroll]

this is not a class action and you are exactly right in a class action the attorneys' are made wealthy--this is a collective action not the same thing according to Greer ( the attorney in this)

 

[rockandroll]

this is not a class action and you are exactly right in a class action the attorneys' are made wealthy--this is a collective action not the same thing according to Greer ( the attorney in this)

 

[somarco]

http://www.topechelon.com/jobseekers/contractor_bigdeal.htm

and

http://www.contingentlaw.com/Hiirng Temps Riskier Business.htm

 

[Crabcake Johnny]

There's a lot of abuse with 1099's in the sales industry. I remember when I did home improvement sales we had daily mandatory meetings. Right there is a violation.

The car biz has this beat. The draw against commission provides W-2 status and a guaranteed weekly check and they own your ass. But you if you don't sell a single car you're fired and owe the advance back. The dealship can't lose.

I do remember (can't find the article) a car salesman suing. He claimed that we worked 40 hours a week every week for a month, didn't sell any cars, got fired and owed the draw back. That amounts to free labor for a month and under W-2 rules he must at least be compensated minimum wage.

A nice PS: At the first dealership I ever worked at we got hit with a lot of snow - over 2 feet. They called in their entire sale team and expected everyone, without any compensation, to literally shovel the entire lot and wipe all the snow of every car. We had way over 1,000 cars on the lot about about 30 salesman. Obviously everyone said "not a chance." The GM threatened to fire everyone. One of the senior salesman said "Please do so you can make me rich."

 

[Cenla Agent]

There's a lot of abuse with 1099's in the sales industry. I remember when I did home improvement sales we had daily mandatory meetings. Right there is a violation.

The car biz has this beat. The draw against commission provides W-2 status and a guaranteed weekly check and they own your ass. But you if you don't sell a single car you're fired and owe the advance back. The dealship can't lose.

I do remember (can't find the article) a car salesman suing. He claimed that we worked 40 hours a week every week for a month, didn't sell any cars, got fired and owed the draw back. That amounts to free labor for a month and under W-2 rules he must at least be compensated minimum wage.

A nice PS: At the first dealership I ever worked at we got hit with a lot of snow - over 2 feet. They called in their entire sale team and expected everyone, without any compensation, to literally shovel the entire lot and wipe all the snow of every car. We had way over 1,000 cars on the lot about about 30 salesman. Obviously everyone said "not a chance." The GM threatened to fire everyone. One of the senior salesman said "Please do so you can make me rich."

A dealership I worked at about 10 years ago would pay you minimum wage if your commissions for the months were lower than that. Obviously you couldn't do that too often and expect to eat, much less keep your job. But I'm sure other dealerships may operate differently. This one was owned by men who had earned their fortune in other businesses and so were pretty careful to do business the right way.