Fleet Owner unable to hire due to driver residency? (Nevada)

sonja9113

Rookie Expediter
Hello, Can Someone explain to me why a fleet owner cannot hire someone that lives in California, Nevada, West Virginia or North Carolina? Our fleet manager has tried to explain it to me, and I just don't understand (how he is explaining it). I've talked to other fleet owners, and they have heard of not being able to hire out of N.C. due to workman's comp. Please help me understand this. I've tried researching it and come up blank. Thanks!
 

Vegas_Shadow

New Recruit
Driver
I currently work for a fleet owner that is leased on at Load 1 and my wife and I are from Nevada, it has never been brought to our attention that there was an issue with our resident being in NV.
 
  • Like
Reactions: sonja9113

Dynamite 1

Moderator
Staff member
Fleet Owner
We are Vegas_Shadow fleet owners. I have heard talk of issues with NC., but we also know fleet owners that have had 1099 contract drivers from that state and had no issues nor did anything special. Sonja9113, explain the best you can what you were told. Maybe we can get some answers for you or maybe someone will post that has dealt with this issue. We have not and we could be missing something but my CPA's nor the state of IL. have ever made us aware of any issues. We have asked and were told of none so we would like to hear your response the best you can !!
 
  • Like
Reactions: sonja9113

Worn Out Manager

Veteran Expediter
Owner/Operator
US Air Force
Hello, Can Someone explain to me why a fleet owner cannot hire someone that lives in California, Nevada, West Virginia or North Carolina? Our fleet manager has tried to explain it to me, and I just don't understand (how he is explaining it). I've talked to other fleet owners, and they have heard of not being able to hire out of N.C. due to workman's comp. Please help me understand this. I've tried researching it and come up blank. Thanks!
Probably because your fleet uses Progressive and I think they exclude or overprice those States.

Sent from my hand-held Etch-A- Sketch
 

sonja9113

Rookie Expediter
Was told that if we got into an accident that the fleet owner could get sued.

This is what our Fleet Mgr. sent out to the drivers:

Some of you may not be aware that as of this writing there are four states that don't recognize an Independent Contractor agreement. Therefore, these states view any drivers that would potentially join our fleet as employees and as such entitled to all of the government benefits that larger companies are required to pay into. Because of this we cannot hire or retain people from the states of California, Nevada, West Virginia, or North Carolina.
 

sonja9113

Rookie Expediter
We are Vegas_Shadow fleet owners. I have heard talk of issues with NC., but we also know fleet owners that have had 1099 contract drivers from that state and had no issues nor did anything special. Sonja9113, explain the best you can what you were told. Maybe we can get some answers for you or maybe someone will post that has dealt with this issue. We have not and we could be missing something but my CPA's nor the state of IL. have ever made us aware of any issues. We have asked and were told of none so we would like to hear your response the best you can !!
 

Dynamite 1

Moderator
Staff member
Fleet Owner
Unfortunately we dont but might know another fleet owner @ Load One that does. We will chwck and PM you a contact name & number. That is a personal choice and business choice of your fleet owner for their fear of the what if situation.
 

Turtle

Administrator
Staff member
Retired Expediter
Was told that if we got into an accident that the fleet owner could get sued.

This is what our Fleet Mgr. sent out to the drivers:

Some of you may not be aware that as of this writing there are four states that don't recognize an Independent Contractor agreement. Therefore, these states view any drivers that would potentially join our fleet as employees and as such entitled to all of the government benefits that larger companies are required to pay into. Because of this we cannot hire or retain people from the states of California, Nevada, West Virginia, or North Carolina.
Yeah, no. Somebody learned a little bit of information and got spooked. That's not really true. It is true, however, of those employers who try and classify employees as independent contractors and boss them around like employees, to get out of paying payroll taxes and worker's compensation (which, frankly, sounds like what that fleet owner is wanting to do), but in the 4 states listed above, all recognize an Independent Contractor Agreement under common law.

In the four states above specifically, and in all states generally, if there is an on-the-job injury the courts will look past how the parties have designated the relationship to the actual facts of the case to determine whether the worker is actually an employee. And what they look at is the typical stuff regarding the freedom of the independent contractor (or employee) to pick and choose, whether they get paid by the job or the piece, free to chose their own time of work, freedom to say no without being discharged, and, most importantly, the degree of control exercised by the employer. In other words, if the employer treats you like an employee, tell you want to do, how to do it and when to do it, you're an employee, regardless of in what state you or the fleet owner resides. If it looks, walks, acts and quacks like an employee, it's a duck.

Occupational Accident Insurance exists primarily as a means of classifying independent contractors as such, rather than as employees and thus having to pay for Worker's Compensation Insurance, and to limit or prevent liability on the part of the employer from being sued for damages due to on the job injuries.
 

sonja9113

Rookie Expediter
Was told that if we got into an accident that the fleet owner could get sued.

This is what our Fleet Mgr. sent out to the drivers:

Some of you may not be aware that as of this writing there are four states that don't recognize an Independent Contractor agreement. Therefore, these states view any drivers that would potentially join our fleet as employees and as such entitled to all of the government benefits that larger companies are required to pay into. Because of this we cannot hire or retain people from the states of California, Nevada, West Virginia, or North Carolina.
Yeah, no. Somebody learned a little bit of information and got spooked. That's not really true. It is true, however, of those employers who try and classify employees as independent contractors and boss them around like employees, to get out of paying payroll taxes and worker's compensation (which, frankly, sounds like what that fleet owner is wanting to do), but in the 4 states listed above, all recognize an Independent Contractor Agreement under common law.

In the four states above specifically, and in all states generally, if there is an on-the-job injury the courts will look past how the parties have designated the relationship to the actual facts of the case to determine whether the worker is actually an employee. And what they look at is the typical stuff regarding the freedom of the independent contractor (or employee) to pick and choose, whether they get paid by the job or the piece, free to chose their own time of work, freedom to say no without being discharged, and, most importantly, the degree of control exercised by the employer. In other words, if the employer treats you like an employee, tell you want to do, how to do it and when to do it, you're an employee, regardless of in what state you or the fleet owner resides. If it looks, walks, acts and quacks like an employee, it's a duck.

Occupational Accident Insurance exists primarily as a means of classifying independent contractors as such, rather than as employees and thus having to pay for Worker's Compensation Insurance, and to limit or prevent liability on the part of the employer from being sued for damages due to on the job injuries.
 
Top