It's My Business coalition formed to support rights of independent contractors

By Real Vail
June 6, 2013
A broad array of individuals and organizations this week announced the formation of a new national coalition, It’s My Business, to fight for and support the rights of independent contractors to choose a work lifestyle that’s best for them.

“We launched this coalition to give a voice to the 10.3 million people who have chosen to be their own boss and build their own business,” said former U.S. Senator Blanche Lincoln (D-Ark.), who serves as chairman of It’s My Business. “Independent contractors are significant drivers of job growth in our economy and too often their impact is not reported or recognized. It is critical that we raise awareness about the vital role that independent contractors have in our economy and put a spotlight on the numerous legal and regulatory threats that are making it more difficult for independent contractors to earn a living and provide for their families.

“I know from experience that educating policy makers and the public is critical to creating the right kind of environment to help make economic growth and job creation possible,” added Lincoln. “It’s My Business will push back on attempts to outlaw independent contracting and show policy makers and regulators that we need to do more to encourage the type of economic growth that independent contractors provide.”
It's My Business was formed to protect the rights of independent contractors such as graphic designer Elizabeth Bell.

There are numerous efforts under way to make it more difficult for independent contractors, and the businesses they serve, to be successful. They include:

Colorado is one of 28 states that have been aggressive in attempting to reclassify independent contractors by passing new laws restricting independent contracting arrangements. Three states, New Jersey, New Mexico and Massachusetts, have gone so far as to create the presumption that every worker is an employee until proven otherwise.

At the national level, the federal government has allocated $25 million for a joint IRS-Department of Labor initiative to make it harder, if not illegal, for independent contractors and their customers to work together. Federal authorities are targeting small businesses in particular because they have fewer resources to resist intrusive regulation and possible prosecution.

Federal agencies have joined forces with 11 states to jointly investigate and prosecute independent contracting arrangements.

Several other states have also formed statewide task forces to increase audits and prosecutions of independent contractors and their customers.

The actions, which are supported by national unions that want to organize additional members and by states that are desperate for additional revenue, are based largely on misinformation. They also ignore the vital role that independent contractors play in the U.S. economy, creating new jobs and providing services more efficiently and effectively than is possible under a different structure.

Contrary to popular myth, independent contractors like being independent. A U.S. government study found that 82.3% of those who are self employed prefer their jobs to working as salaried or hourly employees. In a separate study, the Pew Research Center reported that independent contractors have higher job satisfaction than employees.

Another argument made against independent contracting is that labor and tax laws are evaded by both independent contractors and the customers that engage their services. In fact, the IRS reports that accurate reporting of income from contractors (who receive 1099 forms) is virtually identical to that of employees (who receive W-2s). More importantly, according to the U.S. Treasury, “independent contractors and their clients tend to pay higher levels of taxes, especially Social Security and Medicare taxes, than employees and employers.” This is because certain benefits – most notably health insurance – are not deductible expenses for the self-employed. Independent contractors use income that has already been taxed to acquire healthcare benefits.

Lincoln said It’s My Business will reach out to independent contractors and their customers across the country to help protect the right of independent contractors to choose a way of life that works best for them, and protect the right of businessmen and women to pursue a business model that creates jobs and keeps America competitive.

The membership of It’s My Business is comprised of dozens of independent contractors and their customers across numerous industries, including financial services, real estate, transportation, medical and health services and insurance, among other fields. A list of members and additional information about the organization can be found on the coalition website,

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