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Senator Harkin Introduces Payroll Fraud Prevention Act in Congress

April 28, 2011

Our Placentia, California employment lawyers have been following the news announcement made by Senator Tom Harkin (D-IA), and Richard Blumenthal (D-CT) and Sherrod Brown (D-OH) this month about the introduction of the Payroll Fraud Prevention Act into Congress--a bill that is similar to the Employee Misclassification Prevention Act that Harkin and Brown introduced into Congress a year ago.

The Payroll Fraud Prevention Act would reportedly expand the Fair Labor Standards Act (FLSA) and aims to reduce payroll fraud by preventing employers from misclassifying their workers to avoid paying their taxes. Under the proposed bill, employees who are often misclassified as exempt from overtime laws, would have access to FLSA employee benefits, like minimum wage, overtime, and workers' compensation among others.

As our attorneys discussed in a previous Riverside, California employment lawyers blog, Harkin has been a key fighter to support employees' rights, to prevent employers from engaging employee misclassification--as misclassifying employees allows companies to save money by avoiding tax codes--putting their workers at great risk financially and with regard to their health and safety.

Harkin claims this bill will give workers the opportunity to earn their legal right to minimum wage, overtime compensation, unemployment benefits, and other workplace benefits under the FLSA--which would alleviate taxpayer burden across the country, as taxpayers end up footing the bill when employers misclassify employees, and create a fair and level playing field for employers.

In Riverside, California, contact Howard Law, PC today for free consultation on your employee misclassification issue.

Sens. Harkin, Brown, Blumenthal Introduce Legislation to Prevent Payroll Fraud, Protect Workers' Rights, and Level Playing Field For Employers, Tom Harkin Iowa's Senator Press Release, April 11, 2011

U.S. Senate: HELP Committee Hearings

Related Web Resources:

California Department of Industrial Relations (DIR): The Division of Labor Standards Enforcement

U.S. Department of Labor: Wage and Hour Division (WHD), Fair Labor Standards Act (FLSA)

U.S. Sen. Harkin: Statement at the HELP Committee Hearing "Leveling the Playing Field: Protecting Workers and Businesses Affected by Misclassification", Iowa, June 17, 2010

Related Blog Posts:

Senator Harkin Aims to "Level the Playing Field" to Protect Workers And Businesses from Employee Misclassification, California Employment Lawyers Blog, June 23, 2011

New State Legislation Holds Employers Accountable for Employee Misclassification, California Employment Lawyers Blog, October 25, 2010