To which part?
Yes that we were like 'contractors.' We had no benefits in initial training from day of class. I got 400/week in check, and for tax purposes, I received a Form 1099 Misc. Income. We didn't get our ID badge until passing the checkride, then we were in CASS and that sim date was the official DOH on our badge. All benefits start date was pegged with a start date of the DOH. Theoretically, the company could say that because pilots weren't officially employees until passing sim date, then they could do with "contractor" pay whatever they wanted.
The sim date DOH was also a major thorn/contention in SLI negotiations. The 9E committee never made it clear to the arbitrator that our class date and sim date differed, and XJ and 9L took advantage of it. After the SLI hearings closed, the arbitrator still requested clarification on this DOH issue. In the end, it didn't matter because it was a category and class method.
One gift that keeps on giving is that 9E anniversary for pay continues to be (to this day) your sim date, not class date. Whereas XJ and 9L still get their raises on class date. So for 9E pilots, we lost out 1.5 - 3 months payraise sooner. So if your class date was July 15 and sim date Sept 2, then your payraise would come Sept 2, whereas your July 15 mesaba guys and colgan guys get their payraise on the july 15 class date of hire.