Claimant Deemed an Employee Despite Independent Contractor Agreement

The Third Department upheld the determination that claimant was an employee, entitled to unemployment benefits, despite the existence of an independent contractor agreement.  Claimant was hired by AML, a consulting firm, for a four-week research project for one of AML’s clients.  Claimant worked at the client’s location:

Initially, we note that the existence of an employment relationship is a factual issue for the Board to decide and its determination will not be disturbed if supported by substantial evidence … . In making this determination, particularly where the work of professionals is involved, the relevant inquiry is whether the employer exercised “control over important aspects of the services performed” … . Here, undisputed evidence was presented that AML set claimant’s rate of pay, established her work hours, provided training, conferred with her on a regular basis, reviewed her work product and submitted her final report to the client. Significantly, although claimant physically worked at the client’s location, an AML representative was present on a daily basis to discuss the project with claimant. Under the circumstances presented, notwithstanding the existence of the independent contractor agreement, substantial evidence supports the Board’s finding that claimant and those similarly situated research analysts were AML’s employees … . Matter of Stewart…, 2014 NY Slip Op 04539, 3rd Dept 6-19-14