US District Attorney opens sporting wages investigation.

ronde chumpion

Hey,

The US District Attorney in Los Angeles, CA has opened a grand jury
investigation in the use of independant contractors in professional
sports. The suit claims that federal minimum wage standards are being
circumvented, by incorrectly listing the status of athletes in various
sports, including cyclists registered with UCI Division 3 Trade Teams.
15th Circuit Court Judge Walter Thompson is expected to hear
testimony on Friday April 9th, 2004.

Looks like 12k dreamers on 3rd divison 'pro' teams are screwed.
Another example of the man keeping them down.

Good Luck Children.
Ronde Chumpion


GETTING STARTED

Some companies take advantage of young workers' eagerness

By JULIE CLAIRE DIOP
Your Money staff reporter

Posted April 4, 2004

Humorists make a career of mocking incompetent bosses. But sometimes
mismanagement isn't funny, it's illegal. And it hurts working people.

In fiscal year 2003, the U.S. Department of Labor collected $213
million in back wages on behalf of 342,358 employees. And these are
only the violations that the government learned about.

The Fair Labor Standards Act governs the payment of wages. Any
employee who works for a company--including a not-for-profit
company--involved in interstate commerce is protected by it. Buying
paper clips across state lines can constitute interstate commerce,
according to Alan Koral, a partner at Price, Vedder, Kaufman &
Kammholz in New York.

One way unscrupulous companies (or, giving them the benefit of the
doubt, ignorant companies) cheat younger workers is by wrongly
classifying them as interns or contract employees.

Interns, which the Department of Labor classifies as "trainees" or as
students in "school-to-work" programs, don't count as employees.
Neither do independent contractors.

To classify workers as trainees and not employees, six conditions must
be met. They cannot displace regular employees, for example, and their
employers can receive "no immediate advantage" from the trainees'
activities.

Students in school-to-work programs also cannot displace regular
employees. Yet it's commonplace for employers to rely on motivated
interns as much as they do on full-time employees, and thereby reduce
their payrolls.

Employers do not have to offer independent contractors the same
benefits that they do to employees because, the theory is, they are
merely one purchaser of the contractor's services.

Employers break the law, however, when they hire someone as an
independent contractor yet treat that person the same way they treat
their employees. Again, six criteria determine if an independent
contractor is really independent. The overriding one, according to
Needham, Mass.-based employment lawyer Vivian Hsu, is the "control"
test. The more control an employer has over a worker, the more likely
the worker should be compensated as an employee.

Questions to ask: Who decides on the hours worked? Who sets the pay?
Does the person have other clients?

Other factors the government looks at include the permanency of the
employer-worker relationship, whether the worker has special skills or
performs routine tasks, and how integral the person's services are to
the employer's business.

The FLSA site (www.dol.gov/elaws/esa/flsa/scope/ee13.asp) is thorough
and easy to follow. If you suspect your employer is violating federal
law, the site will help you understand what is and is not allowed. If
you feel you need additional information, call the contact numbers for
your local wage and hour divisions, listed on the site. An employment
lawyer can also be very helpful.

Straightening out a problem can be as easy as informing your employer
what the act says. Unfortunately, it can also be contentious, and in
some cases can cost you your job.

You may succeed in getting yourself on the payroll and then be fired
by a boss who has had enough of your trouble. Most employees are
employed "at-will," which in the broadest sense means that they work
at the will of their employers.

About minimum wage

The federal minimum wage is $5.15. Most states have their own
minimum-wage laws, and an employer subject to both the state and
federal minimum-wage laws must pay the higher of the two.

Only a few types of employees don't have to be paid minimum wage. They
include workers on small farms and seamen on foreign vessels. An
employer of a worker who regularly receives more than $30 a month in
tips is only required to pay $2.13 an hour in direct wages if that
amount plus the tips received equals at least the federal minimum
wage.

A special minimum wage of $4.25 an hour applies to employees under the
age of 20 during their first 90 days of employment. After that, they
must be paid the full federal minimum wage.

------------------------

E-mail Julie Claire Diop at yourmoney@tribune.com.

Roubaix

This issue was discussed here several years ago. The conclusion was that
most domestic "pros" are hardly better off than they would be as amateurs.

"ronde chumpion" <rondechumpion@aol.com> wrote in message
news:62f26b38.0404052250.57263634@posting.google.com...
> Hey,
>
> The US District Attorney in Los Angeles, CA has opened a grand jury
> investigation in the use of independant contractors in professional
> sports. The suit claims that federal minimum wage standards are being
> circumvented, by incorrectly listing the status of athletes in various
> sports, including cyclists registered with UCI Division 3 Trade Teams.
> 15th Circuit Court Judge Walter Thompson is expected to hear
> testimony on Friday April 9th, 2004.
>
> Looks like 12k dreamers on 3rd divison 'pro' teams are screwed.
> Another example of the man keeping them down.
>
> Good Luck Children.
> Ronde Chumpion
>
>
> GETTING STARTED
>
> Some companies take advantage of young workers' eagerness
>
> By JULIE CLAIRE DIOP
> Your Money staff reporter
>
> Posted April 4, 2004
>
> Humorists make a career of mocking incompetent bosses. But sometimes
> mismanagement isn't funny, it's illegal. And it hurts working people.
>
> In fiscal year 2003, the U.S. Department of Labor collected $213
> million in back wages on behalf of 342,358 employees. And these are
> only the violations that the government learned about.
>
> The Fair Labor Standards Act governs the payment of wages. Any
> employee who works for a company--including a not-for-profit
> company--involved in interstate commerce is protected by it. Buying
> paper clips across state lines can constitute interstate commerce,
> according to Alan Koral, a partner at Price, Vedder, Kaufman &
> Kammholz in New York.
>
> One way unscrupulous companies (or, giving them the benefit of the
> doubt, ignorant companies) cheat younger workers is by wrongly
> classifying them as interns or contract employees.
>
> Interns, which the Department of Labor classifies as "trainees" or as
> students in "school-to-work" programs, don't count as employees.
> Neither do independent contractors.
>
> To classify workers as trainees and not employees, six conditions must
> be met. They cannot displace regular employees, for example, and their
> employers can receive "no immediate advantage" from the trainees'
> activities.
>
> Students in school-to-work programs also cannot displace regular
> employees. Yet it's commonplace for employers to rely on motivated
> interns as much as they do on full-time employees, and thereby reduce
> their payrolls.
>
> Employers do not have to offer independent contractors the same
> benefits that they do to employees because, the theory is, they are
> merely one purchaser of the contractor's services.
>
> Employers break the law, however, when they hire someone as an
> independent contractor yet treat that person the same way they treat
> their employees. Again, six criteria determine if an independent
> contractor is really independent. The overriding one, according to
> Needham, Mass.-based employment lawyer Vivian Hsu, is the "control"
> test. The more control an employer has over a worker, the more likely
> the worker should be compensated as an employee.
>
> Questions to ask: Who decides on the hours worked? Who sets the pay?
> Does the person have other clients?
>
> Other factors the government looks at include the permanency of the
> employer-worker relationship, whether the worker has special skills or
> performs routine tasks, and how integral the person's services are to
> the employer's business.
>
> The FLSA site (www.dol.gov/elaws/esa/flsa/scope/ee13.asp) is thorough
> and easy to follow. If you suspect your employer is violating federal
> law, the site will help you understand what is and is not allowed. If
> you feel you need additional information, call the contact numbers for
> your local wage and hour divisions, listed on the site. An employment
> lawyer can also be very helpful.
>
> Straightening out a problem can be as easy as informing your employer
> what the act says. Unfortunately, it can also be contentious, and in
> some cases can cost you your job.
>
> You may succeed in getting yourself on the payroll and then be fired
> by a boss who has had enough of your trouble. Most employees are
> employed "at-will," which in the broadest sense means that they work
> at the will of their employers.
>
> About minimum wage
>
> The federal minimum wage is $5.15. Most states have their own
> minimum-wage laws, and an employer subject to both the state and
> federal minimum-wage laws must pay the higher of the two.
>
> Only a few types of employees don't have to be paid minimum wage. They
> include workers on small farms and seamen on foreign vessels. An
> employer of a worker who regularly receives more than $30 a month in
> tips is only required to pay $2.13 an hour in direct wages if that
> amount plus the tips received equals at least the federal minimum
> wage.
>
> A special minimum wage of $4.25 an hour applies to employees under the
> age of 20 during their first 90 days of employment. After that, they
> must be paid the full federal minimum wage.
>
> ------------------------
>
> E-mail Julie Claire Diop at yourmoney@tribune.com.

Steven L. Sheffield

On 04/06/2004 12:50 AM, in article
62f26b38.0404052250.57263634@posting.google.com, "ronde chumpion"
<rondechumpion@aol.com> wrote:

> Hey,
>
> The US District Attorney in Los Angeles, CA has opened a grand jury
> investigation in the use of independant contractors in professional
> sports. The suit claims that federal minimum wage standards are being
> circumvented, by incorrectly listing the status of athletes in various
> sports, including cyclists registered with UCI Division 3 Trade Teams.
> 15th Circuit Court Judge Walter Thompson is expected to hear
> testimony on Friday April 9th, 2004.
>
> Looks like 12k dreamers on 3rd divison 'pro' teams are screwed.
> Another example of the man keeping them down.



Nah ... All they need to do is turn them into minimum wage employees
($10,712/annum), and then start withholding taxes.



--
Steven L. Sheffield
stevens at veloworks dot com
veloworks at worldnet dot ay tea tee dot net
bellum pax est libertas servitus est ignoratio vis est
ess ay ell tea ell ay kay ee sea aye tee why you ti ay aitch
aitch tee tea pea colon [for word] slash [four ward] slash double-you
double-yew double-ewe dot veloworks dot com [four word] slash

Bob Schwartz

Steven L. Sheffield <stevens@veloworks.com> wrote:
> Nah ... All they need to do is turn them into minimum wage employees
> ($10,712/annum), and then start withholding taxes.

More likely they would be seasonal so the annual wage would be even less.

Bob Schwartz
cvcc@execpc.com

Davey Crockett

Bob Schwartz <cvcc@shell.core.com> writes:

> Steven L. Sheffield <stevens@veloworks.com> wrote:
>> Nah ... All they need to do is turn them into minimum wage employees
>> ($10,712/annum), and then start withholding taxes.
>
> More likely they would be seasonal so the annual wage would be even less.
>
But even at that they would probably be eligible for unemplyment insurance benefits.

Geez, maybe they could even form squads listing the Unemployment Insurance paying agency as a sponsor.


--
le Vent a Dos
Davey Crockett
Six-Day site: http://members.rogers.com/sixday/sixday.html

Steven Gee

....and workmans compensation when they break a leg in a crit.

Davey Crockett <Davey_Crockett@rogers.com> wrote in message news:<87ekr1dutp.fsf@cpe000423176ea9-cm0f2069983361.cpe.net.cable.rogers.com>...
> Bob Schwartz <cvcc@shell.core.com> writes:
>
> > Steven L. Sheffield <stevens@veloworks.com> wrote:
> >> Nah ... All they need to do is turn them into minimum wage employees
> >> ($10,712/annum), and then start withholding taxes.
> >
> > More likely they would be seasonal so the annual wage would be even less.
> >
> But even at that they would probably be eligible for unemplyment insurance benefits.
>
> Geez, maybe they could even form squads listing the Unemployment Insurance paying agency as a sponsor.