My Civil Advocate

Many people who file for bankruptcy are stressed over the potential impact it may have on their job. Relax. No employer- government or private- may legally fire you, demote you, reduce your salary, and so forth just because you filed for bankruptcy. That doesn't mean, however, that they cant fire you for other valid reasons while you're going through bankruptcy. An employer will often never even know that you filed for Chapter 7 bankruptcy. The only time they might uncover this knowledge is if a creditor has sued you prior to you filing and has obtained a judgment to garnish your wages. When you file for Chapter 7 bankruptcy, your employer will be notified to discontinue the wage garnishment. Regardless, it can't be used against you. If you have a regular job and file for Chapter 13 bankruptcy, the court may order bankruptcy payments to be automatically deducted from your paycheck, therefore your employer will know. In the hiring process, no government agency may ...

How companies classify persons that perform services for them carries tax, unemployment, workers compensation, liability and other implications. The two primary classifications are employees or independent contractors. Which of the two classifications a person falls under depends on several factors.   Determining the Legal Distinction: The key element in determining whether a worker is an employee or an independent contractor is the amount of control the worker has over his or her job duties and what that person accomplishes or produces. A worker who performs services for a business is usually an employee if the business or organization can control what will be done and how it will be done. In determining whether a person providing service is an employee or is an independent contractor, any information that provides evidence of the degree of control or the independence of the worker must be considered.