On June 28, 2010, the New York State Legislature passed the New York State Construction Industry Fair Play Act aimed at correcting the misclassification of employees in the construction industry.
The construction industry is the focus of increased attention by the U.S. Department of Labor and myriad state Departments of Labor in connection with the huge numbers of workers who are misclassified as independent contractors.
Recent studies of New York City’s construction industry suggest that nearly one in four workers – upwards of fifty thousand construction workers – are either misclassified as independent contractors or are paid completely “off the books,” resulting in reductions in tax revenues and the denial of protection under many labor and employment laws.
Source: Proskauer News Alert July 2010