BrokerageIndustry News

Crackdown on independent contractors

Future-Proof: Navigate Threats, Seize Opportunities at ICNY 2018 | Jan 22-26 at the Marriott Marquis, Times Square, New York

Editor's note: See related article: "8 reasons we need independent contractors." Could the National Association of Realtors lose more than half a million members in one simple stroke of President Obama's pen? Several months ago Fafie Moore of Realty Executives Nevada alerted me to a crackdown on independent contractors' employment classification. According to Moore, a legislative provision dealing with independent contractor status could occur as an add-on to another bill. If the independent contractor status of real estate agents were eliminated, the results would be devastating to current business models. Many brokers would be forced to move to an employee model. Would individual agents set up separate companies to contract to do work with the broker's company? The havoc this would wreak within the industry would be beyond almost anything we can imagine.It likely won't come to that. In an article in this month's edition of Realtor Magazine, an official publication of...