A Roy, Weber County, company acting as a go-between for homeowners and housecleaners is not legally an employer and is therefore exempt from making employer contributions to the state, the Utah Court of Appeals has ruled.
A state Employment Security Department auditor three years ago ruled that Adele's Housekeeping Inc. provided housekeepers with employment and, therefore, had to make the contributions, such as unemployment insurance payments.But Adele's appealed, claiming the company functioned only "as a broker," in matching homeowners with housecleaners - mostly housewives seeking part-time work.
Adele's collected a commission from the cleaners for lining up jobs, providing a regular work schedule, handling collection and offering liability insurance.
The state Court of Appeals ruled unanimously in favor of Adele's. The judges said Utah laws defines an employer as someone who pays wages, and that the homeowners were the ones paying the cleaners.