119-HR1319

Bill is currently in: House
Path to Law
House Senate President

119th CONGRESS

1st Session

H. R. 1319

1. Criteria for determining employee status
2. Employee classification under the National Labor Relations Act

1. Criteria for determining employee status

(a) Criteria for determining employee status under the Fair Labor Standards Act - Section 3(e) of the Fair Labor Standards Act of 1938 (29 U.S.C. 203(e)) is amended—

(1) - by redesignating paragraphs (2), (3), and (4) as paragraphs (3), (4), and (5), respectively;

(2) - in paragraph (1), by striking "paragraphs (2), (3), and (4)" and inserting "paragraphs (3), (4), and (5)"; and

(3) - by inserting after paragraph (1) the following:

(2)

(A) - An individual shall be determined to be an independent contractor rather than an employee of another person if—

(i) - such other person does not exercise significant control over the details of the way the work is performed by the individual, without regard to any control the other person may exercise over the final result of the work performed; and

(ii) - while performing such work, the individual has the opportunities and risks inherent with entrepreneurship, such as the discretion to exercise managerial skill, business acumen, or professional judgment.

(B) - The following factors may not be used in determining that an individual is an employee of another person:

(i) - Whether such other person requires the individual to comply with legal, statutory, or regulatory requirements.

(ii) - Whether such other person requires the individual to comply with health and safety standards that are more stringent than otherwise applicable health and safety standards.

(iii) - Whether such other person requires the individual to carry insurance of any kind.

(iv) - Whether such other person requires the individual to meet contractually agreed-upon performance standards, such as deadlines.

2. Employee classification under the National Labor Relations Act

Section 2(3) of the National Labor Relations Act (29 U.S.C. 152(3)) is amended—

(1) - by striking "(3) The term "employee" shall" and inserting the following:

(3)

(A) - The term "employee" shall

(2) - by adding at the end the following:

(B) - Section 3(e)(2) of the Fair Labor Standards Act of 1938 (29 U.S.C. 203(e)(2)) shall be used in determining whether an individual is an independent contractor or an employee of another person.