Bill > HB791

This bill addresses employee misclassification in Kentucky by creating new legal protections and definitions for workers classified as independent contractors. The bill establishes that employers who incorrectly classify employees as independent contractors can be held liable for paying the full amount of unpaid wages and overtime compensation, plus additional liquidated damages equal to the owed wages. Employees who believe they have been misclassified can bring a private legal action or request the commissioner of the Department of Workplace Standards to pursue the claim on their behalf, and workers from the same employer can join together in a collective action. The bill also formally defines an "independent contractor" as someone who is free from the employer's direct control, performs work outside the employer's usual business, and is independently engaged in a similar trade or business. Additionally, the bill repeals a previous statute about marketplace contractors and provides a clear legal mechanism for workers to seek remedy if they believe they have been improperly classified, which could help protect workers from potential wage theft and ensure they receive appropriate compensation and benefits.

Business and Industry

https://apps.legislature.ky.gov/record/25RS/hb791.html