Designation of Misclassification as Standalone Legal Violation

Policy or Initiative Description

Lawmakers should provide an express legal designation for the misclassification of workers who should be employees as independent contractors. In many states, there is no express prohibition on misclassification, but the issue arises through the enforcement and case law development under wage and hour, unemployment, and other laws. Creating this designation can streamline enforcement efforts and allow jurisdictions to impose specific penalties for misclassification.

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