EMPLOYEE VS. INDEPENDENT CONTRACTOR, UNEMPLOYMENT INSURANCE, AND EXOTIC DANCERS

FACTS: Milano’s Inc. appeals the Kansas Department of Labor’s (KDOL) determination that its exotic dancers are employees rather than independent contractors for purposes of unemployment insurance. The KDOL held that the dancers’ tips qualified as wages. The district court and the Court of Appeals agreed with the KDOL.

ISSUES: (1) Employee vs. independent contractor and (2) exotic dancers

HELD: Court held that exotic dancers subject to a right of control by the owner of the club where they perform are employees under the “usual common law rules” incorporated into K.S.A. 44-703(i)(1)(B) of the Kansas Employment Security Law.

STATUTES: K.S.A. 44-701, -703(i), (o), -709; and K.S.A. 77-621(a), (c)

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