Posts Tagged: independent contractor classification

A crummy $56?????

Posted by & filed under Accounting Information Systems, Accounting Principles, All Articles, Auditing, Cost Accounting, Ethical Dilemma, Financial Accounting, Intermediate Accounting, Managerial Accounting.

Drivers who worked for the “taxi” service known as Lyft, (in California) during the past four years, would have been entitled to an estimated $126 million in expense reimbursements had they been employees rather than independent contractors. Questions: 1. How much would Lyft drivers have recouped under a standard rate for mileage reimbursement set by… Read more »

Uber: Employees or Contractors?

Posted by & filed under Accounting Information Systems, Accounting Principles, Auditing, Cost Accounting, Financial Accounting, Intermediate Accounting, Managerial Accounting, Video Updates.

The California Labor Commission has found that a driver for Uber in San Francisco is an employee of the company. Questions: 1. Why is this such a nightmare for Uber? 2. Discuss how this will change the company’s accounting system and business model if this ruling is upheld and the costs involved. 3. The article… Read more »

Impending Huge Penalties!

Posted by & filed under Accounting Information Systems, Accounting Principles, Auditing, Cost Accounting, Financial Accounting, Financial Reporting and Analysis, Financial Statement Analysis, Intermediate Accounting, Managerial Accounting.

The Kansas Supreme Court found that FedEx drivers were illegally misclassified as independent contractors from the late 1990s through 2011, despite being treated as employees. According to Alan Pyke, FedEx set contract agreements with delivery and pickup drivers in order to avoid the higher costs associated with making the drivers full employees. Questions: 1. What… Read more »