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Epic Staff Management6/26/2003
. Steelwind Industries, Inc., a steel fabricator, contracted with Epic Staff Management, Inc., for Epic to provide Steelwind with various human resource services, including the provision of worker's compensation insurance. Epic and its worker's compensation insurer, Continental Casualty Co., appeal a circuit court order that affirmed a determination by the Labor and Industry Review Commission that Epic and its carrier are responsible for worker's compensation benefits arising from an injury sustained by a worker at the Steelwind plant.
. Epic claims that because its contract with Steelwind ended on a date prior to the worker's injury, Epic was not the employer responsible for his worker's compensation benefits. Epic also claims that the commission incorrectly concluded that Epic meets the definition of a "temporary help agency" under Wis. Stat. § 102.01(2)(f) (2001-02).
. We conclude the commission did not err in determining that Epic is the employer responsible for providing worker's compensation benefits to the injured worker. We also conclude that the commission's statement that Epic is a "temporary help agency" was not necessary to its determination of the responsible employer. Accordingly, we direct that the discussion of Epic's status as a "temporary help agency" under Wis. Stat. §§ 102.01(2)(f) and 102.04(2m) be stricken from the circuit court and commission orders. So modified, we affirm.
BACKGROUND
. Steelwind is a steel fabricator specializing in the construction of large castings and structural steel components. Epic refers to itself as a "professional employer organization" that contracts with businesses to provide various human resource services. Epic and its clients typically divide employer rights and responsibilities as follows: Epic assumes responsibility for paying and reporting wages, providing health benefits, and procuring worker's compensation insurance for worksite employees, while Epic's clients (such as Steelwind) supervise, direct, and control the day-to-day worksite activities. Epic fulfills its obligations with funds provided by the client and it charges a fee for its services.
. In January 1999, Epic contracted with Steelwind to, among other things, pay "taxes and wages," procure health benefits, and "secure and maintain Workers' Compensation coverage" for Steelwind's workforce. At the start of the contract, Epic hired Steelwind's production workforce and formally became the workers' employer for payroll, tax and insurance purposes. Steelwind provided Epic with the funds necessary to issue payroll checks to workers and to pay the various insurance premiums when due. Steelwind also paid Epic a fee for fulfilling these and other services rendered under the contract.
. The term of the contract was one year, ending on December 31, 1999. The contract provided it would automatically renew for an additional one-year term in the absence of a termination notice given by either party not later than thirty days prior to the expiration of the first one-year term.
. By late 1999, Steelwind was dissatisfied with its arrangement with Epic and wanted to terminate the contract. Steelwind retained a worker's compensation insurer to assume the coverage previously obtained through Epic, with coverage effective December 31, 1999. Steelwind did not, however, provide Epic with the thirty-day termination notice required by contract. Thus, in December 1999 and January 2000, Steelwind and Epic discussed the possibility of terminating the contract through a separate agreement.
. On January 10, 2000, a worker at the Steelwind plant was injured while performing his job duties. Two days later, Epic and
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