Yes, it's lawyers, but I think it's not quite what you said: it's actually Microsoft's fault. Google "Vizcaino v. Microsoft Corp." That was the lawsuit where long-time contractors got reclassified as employees.
If hired via an agency, then it's the agency's problem to make sure they're contractors. Yes, this sucks. -----Original Message----- From: IBM Mainframe Discussion List <[email protected]> On Behalf Of Farley, Peter Sent: Monday, February 9, 2026 6:27 PM To: [email protected] Subject: Re: [EXTERNAL] mainframe skills - was cross posted So that they have deeper pockets than one individual to sue if you defraud them, commit corporate espionage, commit HR sins, or other bad things. Once again, it’s the lawyers worrying about “what if . . . “. This goes back decades. When I first started consulting, employers would not deal with DBA’s (Doing Business As) individuals, only with first-class corporations (e.g., “class C” corps in NY state) who would invoice your cost as a consultant through their regular vendor payment system. Being a "first class" corporation does have many tax benefits, as you pointed out previously. From: IBM Mainframe Discussion List <[email protected]> On Behalf Of Tracy R Reed Sent: Monday, February 9, 2026 5:49 PM To: [email protected] Subject: Re: [EXTERNAL] mainframe skills - was cross posted On 2/5/26 10:33, Pommier, Rex wrote: > Another issue related to this is the fact that some (many/most??) US firms > won't hire independent contractors. They require a contractor be hired > through an agency. Why is this? - Tracy Reed -- This message and any attachments are intended only for the use of the addressee and may contain information that is privileged and confidential. If the reader of the message is not the intended recipient or an authorized representative of the intended recipient, you are hereby notified that any dissemination of this communication is strictly prohibited. If you have received this communication in error, please notify us immediately by e-mail and delete the message and any attachments from your system. ---------------------------------------------------------------------- For IBM-MAIN subscribe / signoff / archive access instructions, send email to [email protected] with the message: INFO IBM-MAIN ---------------------------------------------------------------------- For IBM-MAIN subscribe / signoff / archive access instructions, send email to [email protected] with the message: INFO IBM-MAIN
