Missouri Senate Bill SB863

Missouri 2022 Regular Session

• Introduced: 1/5/22
• Refer: 1/27/22

Caption

Modifies provisions relating to worker classification

Impact

By redefining what constitutes an independent contractor, SB863 makes it more challenging for employers to classify workers as independent contractors if they do not meet certain criteria. This change could increase the number of individuals classified as employees, thereby ensuring they receive all the rights and benefits associated with that status, including protections concerning labor rights and benefits. Critics argue that this could lead to unintended consequences for businesses, particularly small firms that rely on flexible labor.

Summary

Senate Bill 863 aims to modify provisions relating to worker classification, specifically in how employees and independent contractors are defined under Missouri law. The bill repeals specific sections and enacts new provisions that impact how workers are classified, thus affecting their rights and employer obligations. The core purpose of the bill is to provide clearer guidelines concerning the categorization of workers, which has been a contentious issue, especially with the rise of gig economy jobs and independent contracting.

Sentiment

General sentiments around SB863 are mixed, with proponents hailing it as a necessary means to protect workers and ensure fair treatment in the evolving job market. Conversely, opponents, particularly some business groups, express concern that the bill could impose additional burdens on employers and limit flexibility in the workforce, potentially stifling entrepreneurial spirit and innovation. The debate reflects broader tensions between worker protections and the need for business operational flexibility.

Contention

The most notable point of contention involves the criteria for independent contractor status, which includes stipulations like the necessity of a written contract, the ability to control work methods, and obligations regarding taxes. Those against the bill highlight the potential for increased litigation and the complexity it introduces into workforce management. Supporters believe that these criteria will provide necessary clarity and protect workers from being misclassified and denied legal protections that employees typically hold.