Bill > H4666

This bill establishes a framework for the recognition and registration of professional employer organizations (PEOs) operating in Massachusetts. The key provisions include: - Defining terms like "PEO relationship," "covered employee," and "professional employer agreement" that govern the relationship between PEOs, clients, and employees. - Requiring PEOs to register with the Department of Labor Standards, providing information about their business and financial condition. PEOs must maintain minimum financial requirements like a surety bond. - Outlining the rights, duties, and obligations of PEOs, clients, and covered employees under a PEO arrangement, including provisions related to workers' compensation, unemployment insurance, and employee benefits. - Clarifying that PEO arrangements do not affect collective bargaining agreements, employee licenses/certifications, or existing contractual relationships between clients and employees. - Allowing PEO groups to satisfy reporting and financial requirements on a consolidated basis. - Establishing penalties and disciplinary actions for violations of the PEO registration and operating requirements. The bill aims to provide a clear legal framework for the operation of PEOs in Massachusetts, addressing issues of employee protections, tax/economic incentives, and regulatory oversight.

Budget and Finance

https://malegislature.gov/Bills/190/H4666