- December 17, 2021
- Posted by: Stratford Team
- Category: Business
On December 13, 2021, the Massachusetts Supreme Judicial Court (SJC) held that the multifactor standard of the Fair Labor Standards Act (FLSA), and not the Massachusetts Independent Contractor Law’s “ABC test,” determines joint employer status under Massachusetts law. This decision brings welcome relief for businesses that now have meaningful guidance for structuring their relationships with contractors, service providers and vendors, and limiting their exposure to employment laws.
In Jinks v. Credico USA LLC, Case No. SJC-13106 (Dec. 13, 2021), Credico USA contracted with DFW Consultants to provide sales services for Credico’s clients. DFW in turn hired the plaintiffs as salespeople. DFW classified the plaintiffs as independent contractors, without any input from Credico. The plaintiffs sought to hold Credico liable, under a joint employer theory, for their alleged misclassification as contractors and related violations of Massachusetts…
