The US House of Representatives introduced a bill (H.R. 5107), Employee Misclassification Prevention Act, that if passed would amend the FLSA to required employers who employ “non-employees” to keep records of classification of the non-employees. The bill refers to non-employees, which is targeting employers’ classification of independent contractors.

Should the employer fail to maintain the records required under the proposed bill, a presumption would be created that the worker is an employee – not an independent contractor. The employer could only then overturn this presumption by presenting “clear and convincing evidence” that the worker is properly classified.

The bill would also require employers to provide written notice to any non-employees about their classification. Among other items, the notice would need to state:

Your rights to wage, hour, and other labor protections depend upon your proper classification as an employee or non-employee. If you have any questions or concerns about how you have been classified or suspect that you may have been misclassified, contact the U.S. Department of Labor.

The notice would also need to include additional information that Department of Labor deems necessary by regulation at a later date.

Violation of the proposed bill’s requirements carries a civil fine of $1,100 per worker, which could increase to $5,000 for willful repeat violations.

The bill (H.R. 5107) can be read here. From what I could gather, it appears that the bill has a strong chance of becoming law. This is definitely one I will be keeping my eye on in coming months.