House Co-Sponsorship Memoranda

House of Representatives
Session of 2019 - 2020 Regular Session

Posted:	February 6, 2019 09:45 AM
From:	Representative John T. Galloway
To:	All House members
Subject:	Contract Specifications for Independent Construction Contractors

Employee misclassification is a widespread problem in Pennsylvania. This practice is particularly prevalent in the construction industry, where contractors and subcontractors may seek to cut the costs associated with having “employees” by classifying those employees as “independent contractors.” This allows bad actors to get business that would have otherwise gone to law-abiding employers. Additionally, misclassified workers receive less protection under the law and miss out on the pay and benefits that they have earned. This bill addresses misclassification in the construction industry by further specifying that a worker would only be considered an independent contractor if the written contract is project-specific and time-specific. This change will make it harder for unethical employers to skirt the law. Misclassification hurts all workers and ethical businesses in Pennsylvania. It’s time to fix this problem. Let’s pass these reforms and create a level playing field for workers and businesses in Pennsylvania. This legislation is part of a package of bills that addresses employee misclassification in Pennsylvania. (Prior HB-2441)
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Introduced as HB715