Bill > AB269

This bill provides a comprehensive framework for delivery and transportation network companies (like rideshare or delivery apps) to classify their application-based drivers as independent contractors under certain conditions, rather than as employees. The bill establishes a mechanism for portable benefit accounts that allows network companies to contribute up to 4 percent of a driver's quarterly earnings to an account that can be used for purposes such as income during illness, retirement savings, insurance premiums, and income replacement. The legislation also enables network companies to offer group or blanket accident and sickness insurance and occupational accident insurance for drivers, with specific coverage requirements including at least $1,000,000 in aggregate benefits covering medical expenses, disability payments (up to two-thirds of average weekly income for 104 weeks), and survivor benefits. Drivers would be considered independent contractors if the network company does not control their work schedule, penalize them for declining specific service requests, restrict them from working with other companies, or prevent them from pursuing other employment. The bill aims to provide flexible workers with some financial protections while maintaining their status as independent contractors, and allows for tax deductions for contributions to portable benefit accounts. If any part of the independent contractor classification is invalidated by a court, the provisions regarding portable benefits and insurance would also become invalid.

Government Affairs

https://docs.legis.wisconsin.gov/2025/proposals/reg/asm/bill/ab269