Proposed SB 1583 Imposes Liability for Bad Independent Contractor Advice

Non-attorney HR consultants - heads up!

SB 1583, now pending in the legislature, would impose penalties on third parties who merely advise employers that a given worker can be classified as an independent contractor. The penalty applies only if the worker is later found to have been mis-classified. The penalty is $200 per day per contractor. Licensed attorneys are exempt from this bill (whew).

The proposed bill text is here. Be careful out there!