Bill > HB264

This bill establishes a framework for suspending or revoking business occupational and professional licenses when an employer is found to have committed workplace fraud, specifically related to employee misclassification. The bill defines key terms such as "license" (which includes certificates, registrations, and permits issued by a licensing authority) and specifies that the Maryland Department of Labor's Division of Occupational and Professional Licensing, along with several specific boards like the Elevator Safety Review Board, will be responsible for enforcing these provisions. If an employer is found in violation of certain labor laws and fails to pay assessed penalties or employee restitution within 45 days of a final court or administrative order, the relevant licensing authority must suspend or revoke their professional license. The bill includes procedural protections such as requiring written notice to the licensee and providing an appeals process limited to verifying the licensee's identity. Additionally, the bill extends potential licensing penalties to successor corporations with similar leadership and individual officers or managers who were involved in the original violation, unless they can demonstrate they did not know about the violation. These licensing actions can be imposed in addition to other enforcement measures, and the bill is set to take effect on October 1, 2025.

Business and Industry

Economic Matters (House)

https://mgaleg.maryland.gov/mgawebsite/Legislation/Details/HB0264?ys=2025RS