HB 2914 Summary

• Establishes coemployer relationship between Professional Employer Organizations (PEOs) and their clients for Employment Security Act purposes, making both entities coemployers of covered employees under client direction and control.

• PEOs must choose one of two reporting options for unemployment compensation contributions by January 1, 2015: file quarterly returns under a single PEO account, or file under individual client accounts with separated experience history and contribution rates.

• Requires PEOs to file quarterly lists of all clients with federal employer identification numbers, names, contact information, and current registration certificates to the Oklahoma Employment Security Commission.

• PEOs failing to register or maintain registration under the Oklahoma Professional Employer Organization Recognition and Registration Act are classified as third-party administrators requiring power of attorney to access client account information.

• Permits PEOs a one-time election change after initial reporting option selection, effective January 1 of the following calendar year, with all contribution and experience history transferred accordingly.

• Effective date: November 1, 2014.