WWE Under Attack, They Face Charges of Employment Fraud!

Matthew HesterSenior Writer ISeptember 14, 2010

A spokesman for the WWE confirmed that the company is being audited by state officials for classifying its wrestlers and other talent as independent contractors. The company's treatment of its wrestlers has come under attack ever since former Linda McMahon, entered the race for the U.S. Senate last September.

Here is what representatives for the WWE said on the issue

"WWE has always complied with the law," WWE spokesman Robert Zimmerman said in an e-mail. "Up until this election, WWE has not been fined nor investigated in the past for independent contractor classification. However, curiously the state of Connecticut is currently conducting an audit of WWE's classification of independent contractors. WWE constantly reviews its internal practices and procedures to comply with ever-changing employee laws."

Democratic President Barack Obama, and state Attorney General Richard Blumenthal, the Democratic nominee for U.S. Senate, swore to crack down on companies that misclassify their employees.

Blumenthal said he was unaware of an audit of the WWE and said his office would not be directly involved in the investigation.

"Complaints about employers misclassifying workers to avoid taxes or health care or other obligations are typically filed with the Department of Labor, which then does investigations," Blumenthal said.

Companies often use independent contractors to fill out their full and part time talent pools because they do not have to pay certain taxes or provide certain benefits

Source Connecticut post


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