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MI SB1012
Bill
AI Summary
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Amends the Worker's Disability Compensation Act of 1969 to clarify employee classification and worker's compensation coverage requirements.
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Changes language from "shall not be" to "is not" and "shall not be considered" to "are not" throughout the definition of employee in section 161.
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Establishes a 6-factor test for independent contractor classification in the trucking and messenger courier industries, effective January 1, 2013, requiring ownership of vehicle/vessel, responsibility for operating costs, control over services, compensation based on work performed, substantial control over means and manner of work, and a signed agreement with the contracting entity.
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Excludes individuals in the trucking and messenger courier industries who meet all six independent contractor criteria from being classified as employees for worker's compensation purposes.
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Creates opt-out provisions allowing limited liability company members/managers and corporate officers with at least 10% ownership in small entities (10 or fewer members/stockholders) to elect exclusion from worker's compensation coverage with entity consent.
Legislative Description
Worker's compensation; benefits; criteria to determine employee and independent contractor status for worker's compensation coverage in trucking and messenger courier industries; establish. Amends sec. 161 of 1969 PA 317 (MCL 418.161).
Worker's compensation, benefits
Last Action
Referred To Committee On Economic Development
3/8/2012