Page 56: of Maritime Logistics Professional Magazine (Q3 2015)

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Contract Labor in the U.S.

Maritime and O? shore Sectors

A ‘win-win’ scenario is emerging for employers and human resources alike. But, mitigating Con- tract Employee Risk in the United States means understanding how the laws and regulations work.

By Eric Peters, Managing Director, Faststream USA he rapidly burgeoning skills gap for the offshore and treated as independent contractors when the U.S. government maritime labor market is also driving a change in em- deems otherwise. Hence, these employees – some of whom

Tployee and employer mentality when it comes to work- have no health coverage – need to be offered healthcare. Anoth- ing on a contract basis. In part because of current market con- er piece of the equation involves a compliant payroll solution ditions but also as a function of changing business models, that makes sure you are withholding all the right taxes. And, companies are hiring more contractors and fewer permanent at a time when the federal government is also in the process hires. Beyond this, government regulations have complicated of ferreting out what it claims is about $8 billion in underpaid already murky waters of determining employee status – 1099 taxes in the marine and offshore industries, this is no time to be independent contractor, permanent hire, etc. – and have re- taking chances that your contractors will get caught in that net.

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