EmploymentQuestion 559 of 690

What is the civil penalty range a contractor faces for each "willful misclassification" of an employee as an independent contractor under Labor Code §226.8?

a.$500 to $2,500 per violation
b.$5,000 to $15,000 per violation, with pattern-or-practice penalties up to $25,000
c.$100 to $500 per violation
d.$50,000 fixed per misclassified worker

Explanation

Labor Code §226.8 imposes a civil penalty of $5,000 to $15,000 for each willful misclassification, increasing to $10,000 to $25,000 per violation where the Labor Commissioner finds a pattern or practice of such misclassification.

Law Reference: Labor Code §226.8

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