Nike could be fined over $530m for misclassifying thousands of workers

According to independent reports compiled for the company and given to the Guardian, Nike management’s handling of independent contractors has left it open to potentially huge fines and the possibility of class action lawsuits. Photograph: Tingshu Wang/Reuters

Nike may have misclassified thousands of temporary office workers and faces potential tax fines of more than $530m, according to documents obtained by the Guardian.

The sporting goods company employs more than 79,000 people worldwide, and, like many large corporations, relies on an army of independent contractors to do much of the work, including business consulting, T-shirt graphics, photography and event planning.