In a lawsuit that may have implications for other sectors heavily reliant on temporary staffing, such as long-term care, a hospitality hiring agency is suing competitors over their alleged, intentional misclassification of workers.
Platforms can pay workers less and save on other costs when they label users as independent contractors.
The so-called “gig” model — in which a third party hires and places staff as 1099 employees, without withholding their taxes or providing training — has been sharply criticized by some skilled nursing providers and the traditional nursing agencies that help staff them.
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