Final answer:
When a broker requires agents to attend weekly training sessions, the IRS may classify them as employees because this indicates a level of control that is typical of an employer-employee relationship.
Step-by-step explanation:
If a broker requires his/her agents to attend weekly training sessions, the IRS may classify the members as employees. The IRS uses a set of guidelines to determine whether individuals are employees or independent contractors. One key aspect of this determination is the degree of control a company exerts over its workers. Required regular training suggests that the broker exercises a significant degree of control, thus leaning toward an employee classification. Consulting, partnering, and functioning as an independent contractor usually imply greater flexibility and less control by the company over the individual's work hours, methods, and training requirements.