Missouri Business Headlines

Employee or contractor? Bill would bring clarity

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The rise of the gig economy and contract-based projects can sometimes create tricky situations for employers when it comes to classifying some workers as employees and others as independent contractors.

Sen. Bob Onder is working to bring clarity to this situation in Missouri with his Senate Bill 148.

The legislation would set out a clear set of standards that would define whether someone should be considered an independent contractor or an employee. For example, Senate Bill 148 would look to how the worker files taxes, whether the work is provided through a separate business and whether the worker has the right to control how the work is accomplished.

The Missouri Chamber of Commerce and Industry testified in support of this legislation during a February 9 hearing in front of the Missouri Senate Committee on Economic Development.

While unclear standards can lead to trouble for employers, the Missouri Chamber believes that the language in Senate Bill 148 would provide much-needed certainty for the state’s employers. The Missouri Chamber continues to work with stakeholders to advance the bill with a balanced approach to updating an important issue for businesses and workers.

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