H.B. 355 Summary

• Creates a uniform definition of "employee" across Ohio labor laws (workers' compensation, unemployment insurance, and income tax) based on common law rules used by the Internal Revenue Service for determining employer-employee relationships.

• Requires the administrator of workers' compensation to adopt rules establishing an employee classification test consistent with IRS standards under Internal Revenue Code section 3121(d)(2).

• Prohibits employers from negligently misclassifying employees as independent contractors under Chapter 4121, 4123, 4141, and 5747 of the Revised Code.

• Establishes enforcement mechanisms including investigations, hearings, stop work orders, and penalties of $5,000 per misclassified employee for violations.

• Amends gift card regulations (Section 1349.61) to require minimum two-year validity periods and restrict service fees on gift cards.