he got fired after almost 10yrs

I would fight it if I were you go get legal help

 

I don't know the answers about what the employer can do, but saw a co-worker go through a similar situation during the recession of 1974-75. We were Teamster single-unit owner-operators leased to a truckload van division. When freight began to slow down, my friend quit the job to lease to a reefer outfit during the recession. I waited until the truckload company canceled my lease and laid me off as a driver. I then went to the same reefer outfit.

After the recession ran its course, I was called back from lay-off and my tractor lease was renewed. Because my friend had quit the job, he lost his employee status. The truckload company would not take him back until he bought three more tractors and hired three drivers. They took him back as a fleet owner. That was the only way he could regain his Teamster driving job.

 

I'd move on. Who needs 'em? With his experience he should be able to find a good job. What's there to gain by fighting them? The owner sounds like a loser. (Unless there's more to the story)

 

When you buy a tractor and become an O/O, you're not an employee, you're a self-employed contractor. In the eyes of the IRS, you're a proprietor who owns your own business. Its like calling a plumber or electrician to do work, but you keep him on a lease contract with the option for either you or the outside contractor to rescind your business relationships at any time. Your contract stipulates you'll provide a steady load of plumbing (or electrical) work from other sources. When he finishes the job, you bill the client, pay the contractor 70 to 90 percent of the revenue, and you keep 10 to 30 percent for your service of providing the work.

As an O/O, you could've gotten your own authority, and went around knocking on doors to meet shippers to offer your rates, based on how much freight volume you can handle. You enlist your wife or family members to handle billing. Soon as you make delivery, you immediately fax the signed manifest to your wife, who in turn makes up a billing invoice, then bills the client. As an incentive to get your $$$ sooner, you offer a discount on the invoice. Say you bill $1,000 for your services, you offer a 5 percent discount if the client pays no later than 10 days from the date of your invoice. The client will likely jump on this, so you receive a check for $950 before 10 days from the date of your invoice had passed.

All this is a hassle, so you signed on as an O/O instead, to delegate all this administration and marketing to an established trucking company, who already has a large customer base. In contrast, when you became a company driver, you're an employee, and all the years you spent as an O/O are irrelevant. Your relationship with the trucking company had completely changed when you became a company driver. The date he began as a company driver is his starting date, not the date he signed on as an O/O. As an O/O, he was an outside contractor, and the purpose of signing a lease is to agree not to pull a load for an outside competing trucking company. He doesn't want you pulling a load for ABC Transport one week, then take time off to pull for XYZ Trucking, his rival competitor.

 

I would make SURE he fights for unemployment at the very least! IF they fired me over something like that, I would NOT work for them again. Do NOT let them screw you out of unemployment though!

 

My last factory job I worked for fired me when I got upset over my boss hassling me about not getting out enough production one night.. It was a new machine and still had bugs to work out, so production wasn't going to be at 100% and he knew this.. So I went to the unemployment and had my case heard.. I did win solely because this was my first time in my 5yrs with them that they had to talk to me about attitude.. I wasn't even given a oral or written warning, just shown the door.. So you could fight it and might just win..

 

There is nothing to screw him out of. He is not eligible for unemployment.

Fact 1. He was an owner operator for over 8 years. He was not subject to unemployment taxes. He was not an employee of the business.

Fact 2. He recently became an employee, 8 months. He does not satisfy the minimum quarters worked in order to be eligible for unemployment. I believe it used to be about 2 years.

Fact 3. When fired, the company will protest all filings. It is hard to get unemployment unless it is found to be in error.

 

It all depends on the State you reside in.
In Michigan: the minimum time on a job to be eligible for unemployment is 13 weeks. But since he was fired for an accident, it is unlikely that he would be eligible for unemployment benefits.
HOWEVER, the poster did say that the Company canceled his life insurance BEFORE he was fired.....which might have been illegal. IF they fired him BEFORE he turned in his truck, he would have not been required to return the truck to the terminal and may have not even been authorized to do so.

 

There is nothing to stop a company from cancelling life insurance. They pay the premium, and usually own the policy. Unless there was a contract that stipulated the insurance issue, then I doubt there is anything to gain on that matter.

As far as the truck, you are correct. If he was fired prior to turning in the truck, he could not legally drive the truck or even been authorized.

Unemployment rules get dicey. There are some that mention the weeks and do not advise on the chargeable periods. It is something they really need to look into for the state they live in.