SB 732
Modifies provisions relating to the misclassification of workers
Sponsor:
LR Number:
3718S.02I
Last Action:
3/3/2020 - Hearing Conducted S Economic Development Committee
Journal Page:
Title:
Calendar Position:
Effective Date:
August 28, 2020

Current Bill Summary

SB 732 - This act provides that any person who performs work for an employer and satisfies all of the following criteria shall be considered an independent contractor:

• He or she has signed a written contract with an employer that states the employer's intent to retain the services of the person as an independent contractor and additionally contains certain acknowledgments detailed in the act;

• He or she has filed, intends to file, or is contractually required to file, in regard to the fees earned from work, an income tax return with the Internal Revenue Service for a business or for earnings from self-employment;

• He or she provides his or her services through a business entity;

• He or she has the right to control the manner and means by which the work is to be accomplished, even though he or she may not have control over the final result of the work; and

• He or she meets at least three other criteria set forth in the act.

An employer is not required to classify any person who is considered an independent contractor as an employee, provided that the employer may hire and classify such person as an employee at any time.

The act further provides that no political subdivision of the state shall enact a law conflicting with this act.

This act is substantially similar to SB 740 (2020), HB 1920 (2020), HB 2071 (2020), SB 313 (2019), and HCS/HB 1137 (2019).

SCOTT SVAGERA

Amendments

No Amendments Found.