Nevada Law Protects Workers from Willful Misclassification and Coercion to be Classified as Independent Contractor

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From JDSupra, Dora Lane reports on changes in employment laws in Nevada including a misclassification statute effective July 1, 2019. Dora writes:

SB 493 (Employee/Contractor Misclassification, effective July 1, 2019)

SB 493 adds sections to NRS Chapter 608, precluding an employer from using coercion, misrepresentation, or fraud to require a person to be classified as an independent contractor or form a business entity in order to classify the person as an independent contractor. SB 493 also prohibits employers from willfully misclassifying or “otherwise willfully fail to properly classify a person as an independent contractor.” The bill also addresses certain independent contractor definitions. Employers who violate SB 493 may be subject to administrative penalties imposed by the Labor Commissioner.

In addition, SB 493 creates a Task Force on misclassification issues and requires the offices of the Labor Commissioner, the Division of Industrial Relations of the Department of Business and Industry, the Employment Security Division of the Department of Employment, Training, and Rehabilitation, the Department of Taxation, and the Attorney General to share information regarding suspected misclassification of employees collected in the course of performing their official duties, which has not otherwise been declared confidential under applicable law.

SB 493 also requires that the mandatory workers’ compensation posters include the definitions of “employee” and “independent contractor,” as those terms are defined in Nevada’s workers’ compensation statutes.

For the full text of the bill, click here.

Read the full story at 2019 Nevada Employment Legislation Updates | Holland & Hart – Employers’ Lawyers – JDSupra

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