Illinois workers’ compensation: Are you an independent contractor?

The term “independent contractor” is sometimes used loosely in the work world, but the workers’ compensation system has a more specific definition. In Illinois, independent contractors are generally not eligible for workers’ compensation benefits. As you can imagine, there often are disputes about an injured workers status: employee vs. independent contractor. Quite often an employer calls you one when you really aren’t.

As a worker, you should watch out for employers who claim you are an independent contractor so that they can avoid paying you benefits. Other times, employers try to avoid having workers’ compensation insurance by claiming their workers are not employees.

Just because your employer tells you that you are an independent contractor doesn’t mean you are one according to the Illinois Workers’ Compensation Commission. Determining whether you’re an independent contractor can be the difference between receiving benefits – medical coverage, payment for lost wages, etc. – and getting nothing. So don’t take your employer’s word for it and don’t rely on what the insurance company tells you.

Independent contractor status mostly depends on your employer’s “right of control.” In other words, you may be considered an employee (and eligible for benefits) if your employer has control over things like your hours, uniform, and who else you work for. On the other hand, if you bring your own tools and do the work without input from the employer on a schedule you set, then you may be an independent contractor.

The more control an employer has, the more likely you are to be labeled an employee; the less control they have, the more likely you are to be an independent contractor.

Here is a list of things to ask yourself:

- Who sets your hours?
- Who provides the tools you need to do the job?
- Are taxes taken out of your paycheck?
- Are you allowed to work for other employers as you wish?
- Were you given a uniform?
- Are you given specific instructions on how to do your job?

These aren’t the only factors to consider, but they should give you an idea of how employers and attorneys determine a worker’s status. Employers and their insurance companies may try and use these rules to their advantage. Your attorney’s goal should be to make sure they’re not just using the term independent contractor to avoid giving you benefits.

If you believe you have been wrongly classified as an independent contractor, or if you’re unsure, we recommend consulting with an experienced Illinois workers’ compensation attorney. We believe this gives you the best chance of getting full benefits.

Each situation is different, and many times there’s not a clear-cut answer. Don’t assume that because you receive a 1099 tax form that you are an independent contractor. There are other things to consider, such as how you interact with your employer day to day.

Our goal is to refer you to a knowledgeable attorney you can trust. Together, you can determine what, if any, benefits you are owed under the Illinois workers’ compensation laws.

Please feel free to contact us at anytime with questions about a work injury, especially if your claim has been denied or your employer has told you that you are not eligible. All calls and emails are free and confidential.