This bill would prevent the federal government from considering whether a company provides benefits to a worker when determining if that worker is an employee or an independent contractor. The legislation affects gig economy workers, freelancers, and companies that want to offer benefits like health insurance, workers' compensation, or retirement savings to independent contractors without risking reclassification of those workers as employees. Under current law, providing traditional employee benefits can be evidence that a worker should be classified as an employee rather than a contractor, which creates legal risks for companies and can discourage benefit offerings. The bill defines benefits broadly to include portable benefits that workers can keep when switching jobs, traditional employee benefits, and any financial contributions toward such benefits. The prohibition would take effect immediately upon the bill becoming law, with no specified funding requirements or implementation timeline.
Take Action
Your position
Add a comment
to comment on this bill.
Annotate the text
Highlight any passage on the Summary or Full Text tab to attach a note. Annotations appear on the Annotations tab.