Are Employees of an employment agency loaned out to Client Companies exempt from being categorized as an employee of the client

Asked over 1 year ago - Los Angeles, CA

I know that there are certain requirements that must be met legally, for an 'independent contractor' not to be considered an employee in the eyes of the law, but can such requirements/rules/definitions also be applied to employees of an employment agency that are hired out/"borrowed" as temps by the employment agency's clients?? In other words, are the laws/IRS rules about how to determine whether someone is an employee or independent contractor, less likely to be applicable to the employees of an employment agency {i.e. are employees employed by employment agencies somehow exempt from such considerations/applications/laws}.

Attorney answers (3)

  1. Craig Trent Byrnes


    Contributor Level 15


    Lawyers agree


    Best Answer
    chosen by asker

    Answered . The analysis is the same. California recognizes the concepts of "general" and "special" employers, as well as joint employers. In most cases, you will be an employee of the agency, as well as the client. But I agree with my colleague: talk with an employment lawyer about the specific facts of your case so he or she can determine which classification likely applies to you.

    Craig T. Byrnes

    Disclaimer: Please be aware that I am not offering legal advice, nor forming an attorney-client relationship with... more
  2. Brad S Kane


    Contributor Level 18


    Lawyers agree


    Answered . You should consult an employment lawyer, who can directly answer your questions based on specific facts. Your question seems to conflating multiple discrete issues:

    1) Whether a person should be considered an "employee" versus an independent contractor?
    2) What rights do employees have under state and federal law?
    3) Whether an employee should be considered an employee of the employment agency, the employment agency's clients, or both?

  3. Panda Lynn Kroll

    Contributor Level 9


    Lawyer agrees

    Answered . Here is a helpful article about dual employment and the "borrowed servant doctrine":

    This answer is not a substitute for legal advice and it does not create an attorney-client relationship.  Seek the... more

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