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QUESTION 1
How do you pay your owner operators?
A
We pay owner operators by the hour.
A
We pay owner operators by the hour.
B
We pay owner operators by the load or mile.
B
We pay owner operators by the load or mile.
You're Right!
Owner operators who are paid by the hour will be considered employees in a court of law while drivers paid by the load or mile are truly independent.
GUIDANCE: Owner operator contracts should clearly outline payment methods per mile or per load rates. Paying drivers by the hour is an indication that you are in an employer/employee relationship.
Actually...
Owner operators who are paid by the hour will be considered employees in a court of law while drivers paid by the load or mile are truly independent.
GUIDANCE: Owner operator contracts should clearly outline payment methods per mile or per load rates. Paying drivers by the hour is an indication that you are in an employer/employee relationship.
QUESTION 2
When do you terminate your owner operators?
A
We typically terminate drivers mid-load if there’s an issue.
A
We typically terminate drivers mid-load if there’s an issue.
B
After the job is completed, we will terminate the driver.
B
After the job is completed, we will terminate the driver.
You're Right!
An employee can be terminated mid-load, while an owner operator must finish the job and get paid for it.
GUIDANCE: Owner operator contracts should clearly state the scope of the work and are in effect until the job is complete. Firing a driver before the contract is fulfilled is another way of treating your owner operators as employees.
Actually...
An employee can be terminated mid-load, while an owner operator must finish the job and get paid for it.
GUIDANCE: Owner operator contracts should clearly state the scope of the work and are in effect until the job is complete. Firing a driver before the contract is fulfilled is another way of treating your owner operators as employees.
QUESTION 3
Who owns the truck used?
A
We own the trucks used by owner operators to haul loads.
A
We own the trucks used by owner operators to haul loads.
B
The owner operators own their trucks to haul loads.
B
The owner operators own their trucks to haul loads.
You're Right!
Drivers who own or lease their own trucks separate from the motor carrier are truly independent contractors.
Do not allow owner operators to use your vehicles if you want to keep a clear delineation between them and your employees. Allowing an owner operator to use your trucks and equipment increases your liability if something were to go wrong while hauling.
Actually...
Drivers who own or lease their own trucks separate from the motor carrier are truly independent contractors.
GUIDANCE: Do not allow owner operators to use your vehicles if you want to keep a clear delineation between them and your employees. Allowing an owner operator to use your trucks and equipment increases your liability if something were to go wrong while hauling.
QUESTION 4
Can the owner operator refuse a load?
A
No. We assign loads and drivers are obligated to take them.
A
No. We assign loads and drivers are obligated to take them.
B
Yes. We offer our drivers a load and they have the right to refuse without penalty.
B
Yes. We offer our drivers a load and they have the right to refuse without penalty.
You're Right!
Drivers who can choose to refuse loads without any penalty are truly independent contractors.
We recommend that you do not interfere with an owner operator’s choice to refuse a load. If you do, this is a clear indication that you are treating them like employees. Only employees can be directed to haul loads.
Actually...
Drivers who can choose to refuse loads without any penalty are truly independent contractors.
GUIDANCE: We recommend that you do not interfere with an owner operator’s choice to refuse a load. If you do, this is a clear indication that you are treating them like employees. Only employees can be directed to haul loads.
QUESTION 5
Does the driver control how and when to service the vehicle?
A
No. We dictate when and where the driver refuels and services the truck.
A
No. We dictate when and where the driver refuels and services the truck.
B
Yes. The driver can refuel and service the truck at his discretion.
B
Yes. The driver can refuel and service the truck at his discretion.
You're Right!
Drivers that have autonomy over where and when to buy fuel and service their trucks are truly independent contractors.
We recommend that you do not advise owner operators on where and when to service their vehicles or even what vendors to use for repair and maintenance. It is important to maintain this distinction to avoid worker misclassification.
Actually...
Drivers that have autonomy over where and when to buy fuel and service their trucks are truly independent contractors.
GUIDANCE: We recommend that you do not advise owner operators on where and when to service their vehicles or even what vendors to use for repair and maintenance. It is important to maintain this distinction to avoid worker misclassification.
QUESTION 6
Do you have employees who work in the same capacity?
A
Yes, and they do similar jobs as our owner operators.
A
Yes, and they do similar jobs as our owner operators.
B
No. Our fleet is made up entirely of owner operators.
B
No. Our fleet is made up entirely of owner operators.
You're Right!
Owner operators and employees must be treated differently with clearly defined job responsibilities.
If there is any overlap between responsibilities that are not clearly defined, all drivers may be ruled as employees. We recommend you have an up-to-date lease agreement that describes independent contractor responsibilities.
Actually...
Owner operators and employees must be treated differently with clearly defined job responsibilities.
GUIDANCE: If there is any overlap between responsibilities that are not clearly defined, all drivers may be ruled as employees. We recommend you have an up-to-date lease agreement that describes independent contractor responsibilities.