Getting Started on Contract to Hire in Los Angeles
Contract to hire is a popular arrangement among employers because of its adaptability2 min read
Contract to hire is a popular arrangement among employers because of its adaptability. It allows employers to increase their staffing without committing to a full-time hire, create a trial period to test the employee’s skills and aptitude for the job, and be financially responsible with regard to wages and benefits. However, before getting started with contract to hire, it is important to understand the legal requirements in Los Angeles.
Business owners and employers should first be aware of the California labor laws governing contract to hire arrangements, so that they can remain compliant with local regulations. This requires understanding the differences between a contractor and an employee, which can be confusing, and without proper definition, businesses may be liable for violating the law. In Los Angeles, determining the proper classification is even more critically important, with its very strict labor laws.
One of the main focuses when considering contract to hire is the definition of a contractor. Generally, contracts employ independent contractors, not employees. To understand the distinction, employers must consider the control exercised over the worker, the duration of the relationship, and intention of the parties, as well as several other factors. And since workers are classified as either employees or contractors for tax withholding purposes, there is the potential for additional penalties if the proper distinction is not made.
In addition, Los Angeles employers must recognize the difference between a temporary employment and a contract to hire arrangement. The primary difference is in the degree of commitment an employer makes to the employee. Under a temporary employment agreement, the employer is only required to fulfill the duties of the employment agreement, whereas under a contract to hire, the employer has greater responsibility for the employee’s wages and benefits, as well as a long-term commitment.
Once the employer understands the legal requirements in Los Angeles, the next step is to consult with qualified counsel. The complexities of the regulations often require expert interpretation, and businesses must be sure that their contracts can withstand legal examination. Fortunately, there is an expert network of attorneys available that are experienced with the nuances of the Los Angeles labor law.
UpCounsel is a great option for Los Angeles employers looking for legal counsel. Whether owners are looking for a one-time consultation or an entire contract to hire department, UpCounsel and its attorney network make finding the right legal services easy and reliable. Business attorneys on UpCounsel often have up to 14 years of experience, and their profiles display ratings and reviews of recent work, making sure businesses pick the right lawyer for their project.
Contract to hire is a great arrangement for businesses, but it must be done with caution and in compliance with the law. Los Angeles employers should understand the legal requirements before getting started with contract to hire, and consult with qualified attorneys to make sure the contracts are ironclad. UpCounsel is the perfect place for businesses to find the right counsel they need.
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