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Alternative Work Arrangements (AWAs) are contract forms commonly associated with less attachment, lower wages, and fewer worker benefits. Even though AWAs are theoretically cheaper for firms, they continue to account for only 10% of employment. The researcher explores why AWAs are not more widely used, given their purported economic benefit for firms. Legal rules suggest that while AWAs have lower fixed costs of employment, they may be less productive than standard employment and likely attract lower-type workers.

The mission of the Office of Federal Contract Compliance Programs (OFCCP) is “to enforce, for the benefit of job seekers and wage earners, the contractual promise of affirmative action and equal employment opportunity required of those who do business with the Federal government.” Accordingly, OFCCP is dedicated to promoting diversity and protecting workers, ensuring that workers are treated fairly and equitably in their current jobs and that those seeking employment do not face discrimination in the hiring process.

The Office of Federal Contract Compliance Programs (OFCCP) in the U.S. Department of Labor (DOL) serves to “protect workers, promote diversity and enforce the law.” Accordingly, OFCCP is dedicated to ensuring that federal contractors and subcontractors comply with their responsibility to take affirmative action and offer equal employment opportunity to job seekers and wage earners.

Worker moral hazard has been shown in some empirical studies to influence workers’ compensation insurance claims patterns. According to moral hazard theory, temporary help services workers would be expected to file a greater number of spurious claims than traditional, directly-hired employees as a result of greater safety information asymmetry between staffing agencies and the temporary help services workers they place in third party workplaces than between employers and their directly-hired employees.

The nature of the employer-employee relationship is drastically changing in the United States, with lead employers employing fewer workers directly and instead relying on intermediaries and contracting firms for providing labor services. In the paper researchers investigate the incidence and effects of outsourcing labor service jobs in food, cleaning, security and logistics (FCSL) to business service firms. They first provide long time series using Census and ACS data documenting large movements of FCSL jobs to business service firms, with an accelerating trend since the Great Recession.

There is ongoing policy debate about employee classification; that is, who the law says should be classified as an employee and who should be classified as self-employed. But do workers themselves understand their current status? To explore whether workers understand their current status, a recent Abt Associates survey asked 8,503 workers for their (1) work status (employee or self-employed) and (2) what earnings documentation for tax purposes they received from their main job (W-2 or 1099-MISC). Earnings documentation alone is not definitive as to classification.

Workers who meet the legal definition of employees receive statutory protections such as minimum wage, overtime pay, and Unemployment Insurance coverage. Workers defined as self-employed forgo these protections as well as other employer-provided benefits such as health insurance and retirement plans. In order for workers to make informed choices between employment and self-employment, they need to understand how those rights and benefits vary with classification (i.e., employee vs. self-employed).

The document provides information related to the public use files (PUFs) of the Worker Classification Knowledge Survey. (Beyond what is contained in the technical report (Daley et al. 2016); no information from the semi-structured interviews is being released.) The survey instruments are included as Appendix A of the Methodology Report, and are also included in this document as Appendix B. The balance of this document proceeds as follows. Section 2 discusses steps to prevent disclosure. Section 3 provides sample code for analyzing the data using SAS.

The report describes the methods used by Abt Associates in conducting the Worker Classification Knowledge Survey for the Department of Labor. The Worker Classification Knowledge Survey is a dual-frame telephone survey that measures American workers’ knowledge about their current job classification and their knowledge about the rights and benefits associated with their job status. Abt conducted this study in support of the U.S.

Under contract from the U.S. Department of Labor (DOL), Abt Associates conducted a survey of 8,503 workers on issues related to employee classification; i.e., whether those who by law are employees are being treated as self-employed (and vice versa). In addition, the study conducted 17 semi-structured interviews with employers and employer representatives. The report describes the survey which suggests that workers have an imperfect understanding of the implications of employment status.