EmploymentQuestion 242 of 1605
Under Labor Code §226.8, willful misclassification of an employee as an independent contractor can result in a civil penalty of:
a.$100 to $500 per violation
b.A warning letter only for a first offense
c.Up to $1,000 per violation
d.$5,000 to $15,000 (or $10,000 to $25,000 for a pattern or practice) per violation
Explanation
Labor Code §226.8 authorizes civil penalties of $5,000 to $15,000 for each willful misclassification violation, increasing to $10,000 to $25,000 per violation when the employer engages in a pattern or practice of misclassification.
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Sen Lin, PrepPass Founder · Verified against California CSLB Contractor License Law & Business Exam · How we review
Reviewed by Abraham Chen — Licensed California General Contractor (CSLB License #1101856 — verify)