Case Study

1. What issue did the court decide in this case? What was its decision? The courts decided the issue in this case was whether or not the plaintiff was an independent contractor or an employee of Flint. The decision that was made for independent contractor, whether or not they should get overtime pay under the Fair Labor Standards Act. The district court found Flint's “degree of control over the rig welders, and the Plaintiffs' lack of independence over setting their work hours, work crews and other details of their welding work, is more consistent with employee rather than independent contractor status.” 

2. What factors do courts consider in applying the economic realities test? The economic reality test looks at whether a worker is economically dependent on the organization for which he or she supplies services. How does each of these factors help distinguish an employee from an independent contractor? Supplementary regulator for the hiring organization has over the worker; the further it is that the worker is an employee. The aptitude to make an income or sustain a loss on a job is the hallmark of an independent contractor. Worker supplies the resources or equipment needed for the job or directly hires others to assist in him or her in performing the work. Independent contractors usually have a special skill and exercise initiative in seeking out assignments or clients. Independent contractor relationship is usually for a incomplete duration. As well as hiring organization engages a worker indefinitely. Independent contractors usually perform work that is peripheral to the hiring organization’s operations. On the other hand a worker is doing a job that is essential to the organization’s operations; this factor will weigh in favor of employee status.

3. What is the court's rationale for its decision? The decision was based on how Flint treated their contractors as employees, due to composition for the employees

4. Do you agree with the court's...