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Sponsors seek to expand Maryland's Workplace Fraud Act to all private employers
Summary
Delegate Matthew Schindler and labor advocates urged the committee to expand anti-misclassification protections beyond construction and landscaping; business groups warned of enforcement and resource challenges and cited limited complaint counts in recent state reports.
Delegate Matthew Schindler told the Economic Matters Committee that House Bill 632 would extend Maryland's Workplace Fraud Act so that employers in all industries are prohibited from misclassifying employees as independent contractors.
"Employee misclassification is a deliberate tactic used by some employers to cut labor costs and evade state and federal tax obligations," Schindler said, adding the change would protect workers' wage, benefit and tax rights and prevent unfair competition against law-abiding employers.
Witnesses supporting the bill included Elizabeth Bobo,…
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