Employer Refuses To Pay Bonus/illegal E'ee Classification

[Godzuki]

What is the name of your state? NY

Employer(former) wants me to sign a separation agreement indemnifying them before they will release my bonus from last year. This is a LARGE chunk of money that was earned and owing a month before I was laid off. They are trying to categorize this as part of the separation monies.

Employer improperly classified me as a contract worker so he wouldn't have to pay payroll taxes. He directly stated this to me.

Also trying to disavow a large pay raise that was supposed to be retroactive nine months.

The separation pay that is the only part of this that hasn't already been earned is a month's salary.

If I sign the sep agreement, I am saying that I agree that the sep payments satisfy all my claims against them, which is obviously not true.

How can it be possible to accept the sep agreement -- to get things going and to avoid hassle -- but still make claim for my backpay?

Thanks.

 

[pattytx]

I suggest you have this document reviewed by an attorney before you sign it, if you do. There are a number of issues here that are problematic, including the "fact" that the company was treating you as an IC in violation of IRS and Wage and Hour laws.

 

[Godzuki]

Yes. That is probably wise.

I suggest you have this document reviewed by an attorney before you sign it, if you do. There are a number of issues here that are problematic, including the "fact" that the company was treating you as an IC in violation of IRS and Wage and Hour laws.