Legal Question in Business Law in California

Re: change of employee type

What do you mean by "Is this legal?"

No one can "make" you a contractor. The relationship between parties to a contract is entirely voluntary. You have the right to look at the proposed contract and say, "No thanks, I don't want to be a contractor on these terms!"

Then you won't be a contractor. You'll be one of the millions of unemployed. A month earlier.

Face it, the employer can cut you anytime. You seem to have an option to get paid for another month if you accept the status of "independent contractor" in place of "part-time employee." Why not take the option?

The only question of "legality" here might be whether the working situation would be truly one of independent contracting versus employment. The various tax-collecting agencies and folks who enforce workers' comp laws seem to think the distinction is very important, and many working situations employers would like to report as "independent contracting" are, under scrutiny, found to be employer-employee relationships where employment taxes are due and compensation insurance should have been provided. There are multi-factor tests in use to determine whether someone is an employee or a true independend contractor. I would need a lot of facts about the type of work you do and the working environment to determine whether you would be, legally speaking, an independant contractor or a disguised employee during the last month under your proposed contract.

My hunch is that most part-time employees would seize the opportunity to get paid for another month and quit fretting about whether it was legal. If it isn't, the employer is the one that will pay taxes and penalties, not you. Or are you hankering for the opportunity to report them?