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New Fair Labor Standards Act amendment proposed

A California legislator has reintroduced legislation that would amend the Fair Labor Standards Act - the 1938 wage and hour law - and require stricter record-keeping requirements from employers who hire independent contractors. The bill, if enacted, would also have harsher penalties for employers who misclassify employees.

Employee Misclassification Prevention Act
Some of the requirements and changes the bill would enact include:

• Imposing civil penalties under the FLSA (up to $1,100 per employee for first offenders; $5,000 per employee for repeat or willful violations) on employers that misclassify employees as independent contractors;
• Non-employees will be notified that: "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...contact the U.S. Department of Labor."
• Employers would have to notify workers and independent contractors of their classification and include information on their local Department of Labor (DOL) office. 
• Impose employer recordkeeping requirements for non-employees. If required records are not maintained, he or she would be presumed to be an employee;
• Certain industries prone to misclassification, like the restaurant industry and cable installer industry, would be targeted by the DOL for audits.

Do you know if your employer has misclassified you?
If you aren't sure if you've been misclassified as an independent contractor order our free book to get answers. This free wage and overtime guide will teach you how you can recover your hard-earned wages for up to 3 years back. Call 888-449-2068 to order your free book today, or fill out our online form.

16 ways to know you've been misclassified as an Independent Contractor.
What is the Fair Labor Standards Act?