Maine Gov. John Baldacci ceremonially signed LD 1456 this week, an act to ensure that construction workers are protected by workers’ compensation insurance.
Under the new law, a person performing construction work at a construction site is presumed to be an employee of the hiring agent for the purpose of workers’ comp unless the person meets the definition of a construction subcontractor.
“This bill is one important step in resolving employee misclassification, the impact of which is felt among Maine workers, employers and the general public,” Gov. Baldacci said. “Our workers lose vital employment protections and our employers are put at a competitive disadvantage in the marketplace as they subsidize business costs for businesses that misclassify. This bill balances the playing field in these areas for workers’ compensation.”
The new rules go into effect Jan. 1, 2010.