Bill Positions

Bill Number: HB 70

Bill Title: Construction Industry Employee Misclassification Act

Bill Sponsor(s): Delegate Glenn

Subject: Employer Relations

Committee: ECM

Bill Summary: Prohibiting construction industry employers from failing to classify an individual as an employee, with the intent to evade payment of wages, benefits, taxes, or other contributions as required under specified provisions of State law; requiring specified persons engaged in construction to file with the Comptroller a specified return; requiring specified payors to withhold specified payment for construction service; etc.

History: None

Chamber Position: Oppose

Position Summary: This legislation is burdensome to construction employers specifically. This legislation defines "independent contractor" more narrowly than the prevailing common law test/IRS factor test typically used to define independent contractors vs. employees. The bill promotes more unnecessary government interference and red-tape that burdens the innocent. There are a number of state and federal laws that currently exist that address this issue. It is recommended that instead of adding unnecessary legislation, the state encourage the enforcement of existing law.

Therefore, the Maryland Chamber of Commerce opposes this bill.

Position Statement: Click here to download a pdf version of the Maryland Chamber's position statement.

Chamber Staff: Allyson Black

General Assembly: Click here to view the bill on the Maryland General Assembly's website.