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PA HB721
Bill
Status
5/13/2025
Primary Sponsor
Kyle Donahue
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AI Summary
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Amends the Construction Workplace Misclassification Act to increase criminal penalties for knowingly misclassifying workers: first offense elevated to first-degree misdemeanor, subsequent offenses to third-degree felony
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Creates a private right of action allowing misclassified employees to sue in court of common pleas within 3 years, with remedies including reinstatement, triple wages and fringe benefits, and attorney fees
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Requires mandatory debarment of at least 3 years from public work contracts for intentional violations, including successor entities that share principals, workforce, premises, or other characteristics with the debarred employer
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Mandates administrative penalties of up to $1,000 for first violations and $2,500 for subsequent violations, with penalty funds deposited into a restricted revenue account for future enforcement
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Extends liability to parties contracting with employers who are "likely to" misclassify workers (lowered from "knowing the employer intends to"), and strengthens anti-retaliation protections for employees who report violations
Legislative Description
Further providing for definitions, for improper classification of employees and for criminal penalties; providing for private right of action; further providing for administrative penalties, for retaliation for action prohibited, for availability of information, for use of penalty funds and for funding; and imposing penalties.
Last Action
Referred to Labor & Industry
5/22/2025