AN ACT TO ENACT THE EMPLOYEE FAIR CLASSIFICATION ACT.
Senate committee substitute makes the following changes to the 4th edition.
Amends proposed GS 143-763 to state that the director of the Employee Classification Division should ensure that the advisory council meets as often as needed and no less frequently than on a quarterly basis. Makes the statute effective when it becomes law.
Removes the two additional factors included in the 4th edition for proposed GS 143-764, governing determination of independent contractor status. The factors were (1) whether an individual had a substantial investment in equipment or tools required to perform the contracted work and (2) whether the individual had the opportunity for profit or loss. Also removes the phrase "subject to customer requirements" in a factor pertaining to an individual's control of his or her own time.
Reverts to the 3rd edition's statement of intent to comply with specified case law by declaring that other factors consistent with the holding of the case may be considered.
Amends proposed GS 143-765 to state that willful or reckless employee misclassification is a violation of the article. Creates a new process through which an employer may contest the Employee Classification Division's determination that it has committed a violation by providing for appeals to the Industrial Commission and thereafter to the North Carolina Court of Appeals. Requires the Industrial Commission to adopt rules to implement this change.
Requires in GS 95-25.15(c) that certain information required in a poster summarizing the Article be presented in plain language.
Removes from the proposed amendments to GS 87-11 (general contractors), GS 87-23 (plumbing and other contractors), and GS 87-47 (electrical contractors) a requirement that a violation giving rise to license revocation or suspension be willful. Makes a similar adjustment to the proposed amendment to GS 143-59.2, governing actions that disqualify certain vendors from contracting with the State.
Includes certain newspaper, shopping news, and magazine distributors in the definition of employment in GS 96-1, pertaining to unemployment insurance, and removes a rebuttable presumption that these workers are not employees from GS 97-2, pertaining to workers' compensation.
Removes two sections making appropriations from the General Fund to the Department of Revenue.
Makes technical and conforming changes. Moves forward the effective date of proposed sections governing definitions and records confidentiality from January 1, 2016, to the date they become law.
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