Employment & Labor Law for Contractors

Running a crew means following employment law — getting it wrong brings fines and lawsuits.

The big ones

• Employee vs. independent contractor — misclassifying workers as 1099 to dodge taxes/insurance is heavily penalized (IRS and state tests look at control). When in doubt, they're employees.
• Wage & hour (FLSA) — minimum wage, overtime over 40 hrs/week, accurate timekeeping, and rules for minors.
• Prevailing wage — Davis-Bacon (federal) and state laws require set wages + certified payroll on public work.
• I-9 / work authorization — verify eligibility for every hire; immigration enforcement is real.
• OSHA is law — safety violations are legal liabilities, not just fines.
• Anti-discrimination & harassment (Title VII, ADA), and workers' comp coverage are mandatory.

Practical defense

Use proper employment agreements, keep clean payroll and time records, post required notices, and get an HR/payroll service or attorney as you scale.

Takeaway: Classify workers correctly (misclassification is costly), follow wage/hour and prevailing-wage/certified-payroll rules, verify I-9s, treat OSHA as law, and keep clean payroll records as you grow.

Educational overview — not legal advice. Construction law varies by state and by contract; consult a licensed construction attorney for your situation.