![]() MYTH #2: If I am classified as an independent contractor, I am not eligible for unemployment insurance (UI). ![]() In addition, federal and state governments lose billions of dollars each year in tax revenue as a result of misclassification. Misclassification also hurts law-abiding business owners who don’t get to compete on a level playing field when some employers wrongly classify their workers as independent contractors and thereby lower their costs unlawfully.
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