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PA SB894

PA SB894
In liability and compensation, providing for registration of status as independent contractor.


summary

Introduced
06/24/2025
In Committee
06/24/2025
Crossed Over
Passed
Dead

Introduced Session

2025-2026 Regular Session

Bill Summary

Amending the act of June 2, 1915 (P.L.736, No.338), entitled "An act defining the liability of an employer to pay damages for injuries received by an employe in the course of employment; establishing an elective schedule of compensation; providing procedure for the determination of liability and compensation thereunder; and prescribing penalties," in liability and compensation, providing for registration of status as independent contractor.

AI Summary

This bill amends the Workers' Compensation Act to create a voluntary registration process for independent contractors that allows individuals to formally waive their rights to workers' compensation benefits. Under the proposed legislation, a person can file a registration with the state department that includes a written waiver by the individual and an affidavit confirming their understanding that they are not considered an employee, are not entitled to workers' compensation benefits, and may need to purchase their own insurance. The registration is valid for future years but can be revoked by the individual at any time through a formal process. The bill prohibits employers from coercing or deceiving individuals into completing this registration, with potential penalties for violations. The bill defines an independent contractor as someone who performs services for valuable consideration but is not classified as an employee for federal tax purposes. Importantly, the bill does not alter the existing Construction Workplace Misclassification Act, and it will take effect 180 days after passage. The primary goal appears to be providing a clear, voluntary mechanism for individuals to document their status as independent contractors and explicitly waive workers' compensation coverage.

Committee Categories

Labor and Employment

Sponsors (1)

Last Action

Referred to Labor & Industry (on 06/24/2025)

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