Starting June 11, 2026, workers and others on public projects can refer suspected misclassification for investigation when at least three independent contractors do the same finishing work at once.
Starting June 11, 2026, the state labor department must investigate a referral when at least three independent contractors do the same type of finishing work at the same time on a public project.
If the department finds that a contractor or subcontractor misclassified a finishing worker, that business is subject to applicable state requirements, liabilities, and penalties, and the department must refer the case under other state laws.
The Department of Labor and Industries must investigate whether workers were wrongly treated as independent contractors. Covered finishing work means drywall, flooring, tiling, painting, and glazier and glasswork on a public works project. An investigation must follow a referral. The department must investigate when a contractor or subcontractor engages at least three independent contractors to do the same type of covered finishing work at the same time on a public works project. A referral may come from the public agency awarding the contract, a contractor or subcontractor on the project, a labor organization representing covered workers, or a worker doing covered work. The law takes effect June 11, 2026.
The contractor or subcontractor that engaged a misclassified worker is subject to applicable requirements, liabilities, and penalties under this law; the department must also make referrals under other state laws. This applies to the contractor or subcontractor that engaged the worker. These consequences follow only if the department finds that a person doing covered finishing work was misclassified as an independent contractor. These consequences follow the department's finding. The law takes effect June 11, 2026.
No hearings or votes scheduled.