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Temporary and leased employees — North Carolina

Many types of workers provide services to companies – for instance, regular employees, temporary employees, staffing agency employees, consultants and contractors. Regardless of what the company and the individual call the relationship, every worker is treated by law as one of the following:

  • employee
  • statutory employee  
  • independent contractor.

In some cases, a company will be deemed to be a joint employer of the worker – for instance, both a staffing agency and the company to whom services are provided may be held to be the worker’s joint employer. The significance of being deemed a joint employer varies depending on the specific law at issue. Some laws hold both employers fully responsible for all aspects of legal compliance and can even hold one joint employer responsible for noncompliance by the other joint employer. Other laws assign certain compliance to the joint employers depending on the role each plays.

Unlike some states, North Carolina does not have a law dealing with independent contractor misclassification. However, on December 18, 2015, Governor McCrory issued Executive Order No. 83 (Employee and Employer Fairness Initiative) establishing an Employee Classification Section within the North Carolina Industrial Commission. The Section,...


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