Definition of Independent Contractor
The bill will confer employee status upon any individual performing services for a contractor or subcontractor unless the following multipart test is satisfied:
(1) the individual has been and will continue to be free from control or direction over the performance of the service for the contractor, both under the individual's contract of service and in fact;
(2) the service performed by the individual is outside the usual course of services performed by the contractor; and
(3) the individual is engaged in an independently established trade, occupation, profession or business; or
(4) the individual is deemed a legitimate sole proprietor or partnership [emphasis added].
Definition of Sole Proprietor/Partnership
To be deemed a sole proprietor or partnership and not an employee, all elements of the following 12-part test must be satisfied. A business entity must:
(1) perform services free from direction or control over the means and manner of providing the services, subject only to the right of the contractor for whom the services are provided to specify the desired result;
(2) not be subject to cancellation or destruction upon severance of the relationship with the contractor;
(3) have a substantial investment of capital in its business beyond ordinary tools and equipment and a personal vehicle;
(4) own the capital goods, gain the profits and bear the losses of its business;
(5) make services available to the general public or the business community on a continuing basis;
(6) include services rendered on a federal income tax schedule as an independent business or profession;
(7) perform services for the contractor under its own name;
(8) obtain and pay for required licenses or permits in its own name;
(9) furnish the tools and equipment necessary to provide the services;
(10) if necessary, hire its own employees without contractor approval, pay the employees without reimbursement from the contractor and report the employees' income to the Internal Revenue Service;
(11) not be represented by the contractor as an employee of the contractor; and
(12) have the right to perform similar services for others on whatever basis and whenever it chooses.
Heres the 2 main definitions. I would say yes, that this means cable or sat worker would now have to be listed as an employee.
Re: no more sub/contractors in Il?
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