The Construction Industry Fair Play Act went into law in New York State on Tuesday to combat abuses in misclassification of employees. It addresses the practice by some employers to classify employees as independent contractors rather than employees.
According to the New York State Department of Labor, a study showed that this misclassification affected 15-25 percent of construction workers in New York, depriving the state of substantial tax revenue and undercutting legitimate employers who classify their workers correctly.
Governor David A. Paterson signed the act into law on Aug. 27, with an effective date of Oct. 26.
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