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Perdue forms panel on NC business scofflaws

RALEIGH, N.C. (AP) – Gov. Beverly Perdue wants state agencies to crack down on businesses that are skirting North Carolina law on workers’ compensation insurance or taxes and getting a competitive advantage to land work and earn profits.

Perdue issued an executive order Wednesday forming a task force comprised of representatives of state offices to look at the issue of employee misclassification. That’s when a business unlawfully labels workers as independent contractors to avoid the extra expenses associated with permanent employees.

The task force will identify potential legislation and easier methods for employees and the public to report potential violations.

The executive order follows a series of articles by The News & Observer of Raleigh that highlighted tax and insurance schemes, particularly in the construction, trucking and home health care industries.

(Copyright 2012 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.)

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