SB363 Summary

• Authorizes marketplace platforms (digital applications facilitating services between contractors and customers) to establish portable benefit plans for independent contractors, excluding transportation network companies.

• Marketplace platforms must provide written notice to the Department of Labor and pay a $500 registration fee to participate in the benefit plan program.

• Benefit plans must maintain individual accounts for participants, allow benefit transfers between plans, permit cash withdrawals with a 25% penalty, and may require a minimum of $500 in contractor fees for eligibility.

• Classifies marketplace contractors as independent contractors, not employees, and shields platforms from respondeat superior liability for contractor or customer actions; platform's benefit plan election cannot be used to establish employment relationships in court.

• Permits platforms to provide voluntary education and training to contractors without affecting independent contractor status; the Department of Labor may adopt rules to implement the act.