Report: Employee Misclassification Costs State Millions

Even during the depths of the national financial crisis, Texas led the country in home construction, and the industry employed more than 950,000 people in Texas.

But many in the industry say it is also a breeding ground for payroll and tax fraud, and rife with employers who knowingly misclassify their employees, a practice that perpetuates the hiring of illegal workers. Industry moguls and researchers discussed such issues Tuesday at the Capitol, addressing the results of a yearlong research project on conditions in the industry by the Workers Defense Project and the University of Texas at Austin's Division ...

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