Bill Text: MI SB0001 | 2013-2014 | 97th Legislature | Introduced

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Bill Title: Labor; fair employment practices; protections regarding employee misclassification; provide for. Creates new act.

Spectrum: Partisan Bill (Republican 1-0)

Status: (Introduced - Dead) 2013-01-16 - Referred To Committee On Government Operations [SB0001 Detail]

Download: Michigan-2013-SB0001-Introduced.html

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SENATE BILL No. 1

 

 

January 16, 2013, Introduced by Senator RICHARDVILLE and referred to the Committee on Government Operations.

 

 

 

     A bill to establish uniform criteria for determining an

 

employee-employer relationship for purposes of the laws of this

 

state; to prohibit misclassification of employees in reports

 

required of employers by this state; to provide sanctions; and to

 

create a cause of action.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 1. This act shall be known and may be cited as the

 

"employee classification act".

 

     Sec. 2. As used in this act, "misclassify" means to fail to

 

properly identify an individual as performing services in

 

employment in an employer-employee relationship with an employer,

 

as determined using the 20-factor test announced by the internal

 

revenue service of the United States department of treasury in

 

revenue ruling 87-41, 1987-1 C.B. 296. An individual from whom an

 

employer is required to withhold federal income tax is prima facie

 

considered to perform services in employment in an employment

 

relationship for purposes of classification as an employee.

 

     Sec. 3. An employer or an agent of an employer shall not

 

misclassify an employee in a report required under the laws of this

 

state. If the misclassification results in a lessening or avoidance

 

of a legal obligation to the employee, another individual, or this

 

state, the employer or agent is subject to the sanctions provided

 

in the statute under which the misclassification occurred. In

 

addition to any statutory sanction, any individual may bring an

 

action against the employer or agent who misclassified the employee

 

to recover any damages the individual suffers that result from the

 

misclassification.