Why 1099 Employees Aren’t Real

By: Chris Way

You’ve probably heard the chatter at a networking event: “Just hire them as 1099 employees! It’s easier, cheaper, and way more efficient.” There’s just one tiny problem with that: “1099 employees” don’t actually exist. In our latest episode, we’re diving headfirst into the legal minefield of worker misclassification. We follow Amazon on a quest to slash labor costs by turning their workforce into contractors—a move that sounds great on paper but tends to crash and burn when it hits state and federal law.

In this video, you’ll learn how to protect your business and scale it with confidence. You’ll learn the fundamental differences between W2 employees and 1099 contractors and how the courts use behavioral, financial, and relational controls to decide a worker’s true status.

We also dive into Amazon Logistics v. Virginia Employment Commission—a case that shows why even industry giants fail this test. Most importantly, we provide a proactive roadmap for structuring real independent contractor relationships that stand up to legal scrutiny, ensuring your growth remains lawsuit-free.

Whether you are a startup founder or a seasoned small business owner, it’s time to get ahead of the curve and master your hiring strategy.