Allegations of Worker Misclassification Prompt Investigation Request by California Senator Against Deel Inc.
Worker misclassification has been a significant issue in various industries, including the gig economy, where companies often rely on a flexible workforce of independent contractors. The determination of whether a worker is an employee or an independent contractor depends on various factors, such as the level of control the employer has over the worker, the nature of the work relationship, and the degree of independence the worker has.
Misclassifying workers as independent contractors allows employers to save costs by not providing these benefits and protections. It shifts the burden of taxes, insurance, and other employment-related expenses onto the workers themselves. However, misclassification can result in legal and financial consequences for employers if they are found to have violated labor laws.
California Senator Stephen Padilla has called for an investigation into Deel Inc., a global employer-of-record provider based in San Francisco. The senator accuses the company of misclassifying its workforce as independent contractors and advising clients on similar misclassification practices. Deel has denied the allegations, stating that they were not contacted prior to the announcement and that the claims are based on competitor hearsay. Senator Padilla claims that Deel has onboarded many of its workers as independent contractors, including its CEO, despite them originally applying as full-time employees. Workers report no noticeable differences in their day-to-day responsibilities compared to in-house employees. Deel denies providing advice on misclassification and asserts that compliance is a priority for the company. The company claims that the allegations are baseless and invites Senator Padilla to engage in direct communication to provide factual information.
ChatSG: Safeguard Global’s Revolutionary Generative AI for Rapid Global Workforce Insights
Safeguard Global, a leading provider of workforce enablement solutions, has announced the launch of ChatSG, the world’s first generative AI technology for the global HR market. ChatSG integrates with Safeguard Global’s dataset and analytics capabilities, allowing users to ask natural language questions in over 40 languages. Leveraging OpenAI’s ChatGPT architecture and deep learning techniques, ChatSG aims to transform the Employer of Record market by providing rapid, data-driven insights that lead to faster decision-making. Safeguard Global’s comprehensive knowledge on HR and payroll topics, including employment laws and policies, enables ChatSG to deliver accurate and timely information, saving valuable time for HR and payroll teams. The technology is now available in beta and has the potential to revolutionize the management of global workforces.
