HI SB2694

Amends Hawaii's employment security law to provide clearer criteria for determining independent contractor status versus employee classification.

Establishes 20 non-exhaustive factors as guidelines for determining independent contractor status, including control over work methods, flexibility of schedule, ability to work for multiple clients, and investment in own facilities and tools.

Defines "independent contractor" as an individual in an independently established trade, occupation, or business with no expectation of employer-employee benefits and responsible for obtaining a general excise tax license.

Requires the director of labor and industrial relations to report to the legislature before the 2017 regular session on guidelines developed by the unemployment insurance coverage committee for auditors applying independent contractor criteria.

Requires annual reporting to the legislature on the number of determinations by the unemployment insurance division and appeals referees' office classifying workers as independent contractors versus covered employees.