In some industries, employers intentionally classify workers as independent contractors – not employees – to circumvent the federal Fair Labor Standards Act and state labor laws. Allegations have been made that haircut franchises are among the employers who may be unlawfully withholding compensation from their hourly workers.
Employee misclassification is regrettably common in the U.S., and is frequently used to avoid paying overtime for time worked in excess of 40 hours per week. But some types of suspected wage abuse are specific to salons and hair care businesses.
- While bona fide independent contractors should be able to set their own prices, misclassified workers are required to charge their employers’ prices;
- Workers are required to remain on the job site during slow times, often without compensation;
- Workers are required to sell the franchises’ products at prices set by the franchise;
- Franchises control the method and manner in which employees perform their jobs, in violation of established independent contractor laws; and
- Employers fail to pay minimum wage, or engage in pay practices that dilute hourly wages below minimum wage.
If you are employed by a salon, including large chains like Great Clips, SuperCuts, Sport Clips, Fantastic Sam’s, or another haircut franchise and suspect you have been a victim of wage theft and abuse, please contact us today to discuss your right to money damages.