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Temps win case against Microsoft

By Deirdre Griswold

Thousands of temporary workers for Microsoft Corp. have won benefits in a class action suit against the software giant. The ruling by the Ninth Circuit Court of Appeals may also be the basis for many more temp workers in other companies in the Western region served by the court to claim the same benefits as regular staffers.

Many technology companies hire temporary workers and independent contractors to avoid paying benefits. But the court has now ruled that these workers are "common law employees" and thus are entitled to the same benefits packages as other workers.

Microsoft is appealing the ruling to the Supreme Court.

The ruling applies not only to so-called "perma-temps" who have long-term assignments with the company, some lasting years, but to all common law employees from 1986 to the present. Over 10,000 past and present workers may be eligible for damages based on stock options they should have received years ago.

This case could have enormous repercussions in an economy where Manpower Inc., a temp agency, is now the largest employer in the country. Much of the increase in people without health insurance is due to the spread of temporary work. Other benefits often withheld from temps are vacation and sick time, holiday pay, overtime pay and pensions.

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