Why There Are No Independent Contractors In The Industry

The Industry in a Post Dynamex Environment

National Association of Mortgage Field Services (NAMFS) members are reeling from the tens of millions of dollars in fines, settlements, and jury verdicts in the past year levied against them for misclassifying employees. And any NAMFS member whom states that they did not knowingly lie, with respect to misclassification, will soon have a grand jury indictment awaiting. Simply ask Jack Jaffa, owner of Jaffa and Associates whom is now facing a forced Involuntary Bankruptcy in a New Jersey Federal Court for defrauding nearly SEVEN MILLION DOLLARS from Minority Females and Labor in the Mortgage Field Services Industry. Jaffa and Shari Nott ran the Ponzi Scheme known as National Management and Preservation Services dba National Field Network (NFN) along with Christopher Crandell. The sad reality, though, is that Jaffa and his financial terrorists are the norm and not the exception in the Industry today.

You cannot simply blame NAMFS members, though. Many within the Industry are complicit with the lies and further the ability of NAMFS members to execute their pattern and practice of misclassification. Take, for example, the simple and salient fact that nearly EIGHTY TWO PERCENT of all misclassified employees I have interviewed do not separate their personal email from business. Over the past decade I have reviewed the massive email breaches at Safeguard Properties, Mortgage Contracting Services, the former Lender Processing Services which is now ServiceLink and the recent Nationstar purchase of Assurant Field Asset Services. To a fault, almost all of those email addresses were Gmail, Yahoo, and Hotmail accounts.

To many, the enormity of the pendulum swing, with respect to the recent Dynamex decision in California, represents precisely how disharmonious the relationship between Labor and Management has become. Within our Industry, though, for nearly two decades NAMFS members have exploited the misclassification of employees to the tune of billions of dollars in unpaid taxes and benefits. And while the settlements and jury verdicts over the past year alone has eclipsed the tens of millions of dollars, the fines being issued by the California Employment Development Department (CalEDD) and CalPERS will easily dwarf those by a margin of 5 to 1.

For those whom believe that once these state governments clue in about the hundreds of millions of dollars currently untaxed and honestly believe that ANY STATE GOVERNMENT will be willing to reverse course after beginning to collect them, they obviously have a Gmail, Hotmail, or Yahoo email account. And to that point, for those out there whom believe that simply stating that one is a sole proprietor and this exempts them from items such as commercial tags, business licenses, and proper insurance, you need not fear about the Industry coming after you. I tell you this, Foreclosurepedia will come after you!

The fact of the matter is that while Foreclosurepedia has always been a Friend of Labor, we have never supported those whom would profit from the hard work of others while placing them at an unfair economic disadvantage. Furthermore, allowing these #WalMartGreeters to continue diluting the horrific pricing in the Industry will not happen on my Watch.

A trifecta must begin to evolve with respect to how Management onboards Labor. Foreclosurepedia concurs with the International Association of Field Service Technicians (IAFST) in that Labor must possess a DUNS, a SAM Account, and have successfully completed a digitally accredited certification process such as the IAFST University. These three elements meet the criteria which CalEDD and CalPERS appear to require.

Are you ready to break the cycle and start making the money you deserve? Reach out today for a free, initial consultation.

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