THE GENERAL ASSEMBLY OF PENNSYLVANIA

SENATE BILL

INTRODUCED BY MENSCH, SCARNATI, RAFFERTY, D. WHITE, EICHELBERGER, SOLOBAY, WAUGH, ALLOWAY, VOGEL, ORIE, EARLL, FOLMER, ERICKSON, YAW, BREWSTER, KASUNIC AND BRUBAKER, JUNE 3, 2011

REFERRED TO LABOR AND INDUSTRY, JUNE 3, 2011  

AN ACT

Amending the act of June 2, 1915 (P.L.736, No.338), entitled, as

reenacted and amended, "An act defining the liability of an

employer to pay damages for injuries received by an employe

in the course of employment; establishing an elective

schedule of compensation; providing procedure for the

determination of liability and compensation thereunder; and

prescribing penalties," further providing for the definition

of "employe."

The General Assembly of the Commonwealth of Pennsylvania

hereby enacts as follows:

Section 1.  Section 104 of the act of June 2, 1915 (P.L.736,

No.338), known as the Workers' Compensation Act, reenacted and

amended June 21, 1939 (P.L.520, No.281) and amended June 24,

1966 (P.L.350, No.57), is amended to read:

Section 104.  The term "employe," as used in this act is

declared to be synonymous with servant, and includes--

All [natural] persons who perform services for another for a

valuable consideration, exclusive of persons whose employment is

casual in character and not in the regular course of the

business of the employer, and exclusive of persons to whom

articles or materials are given out to be made up, cleaned,

washed, altered, ornamented, finished or repaired, or adapted

for sale in the worker's own home, or on other premises, not

under the control or management of the employer. The term shall

not include an alien (noncitizen) who has entered the United

States without government permission or stayed beyond the

termination date of a visa. Except as hereinafter provided in

clause (c) of section 302 and sections 305 and 321, every

executive officer of a corporation elected or appointed in

accordance with the charter and by-laws of the corporation,

except elected officers of the Commonwealth or any of its

political subdivisions, shall be an employe of the corporation.

An executive officer of a for-profit corporation or an executive

officer of a nonprofit corporation who serves voluntarily and

without remuneration may, however, elect not to be an employe of

the corporation for the purposes of this act. For purposes of

this section, an executive officer of a for-profit corporation

is an individual who has an ownership interest in the

corporation, in the case of a Subchapter S corporation as

defined by the act of March 4, 1971 (P.L.6, No.2), known as the

"Tax Reform Code of 1971," or an ownership interest in the

corporation of at least five per centum, in the case of a

Subchapter C corporation as defined by the Tax Reform Code of

1971.

Section 2.  This act shall take effect in 60 days.