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Committee preserves independent-contractor status for direct sellers with passage of SB547

PUBLIC HEALTH, WELFARE AND LABOR COMMITTEE - SENATE · March 29, 2021
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Summary

Senate Bill 547, sponsored by Senator Garner, passed on a voice vote to maintain direct sellers' classification as independent contractors; sponsor said the change follows standards used in other states and supports micro-entrepreneurs.

Senate Bill 547 was introduced and approved by the Senate Public Health, Welfare and Labor Committee by voice vote. The sponsor said the bill preserves the classification of direct sellers as independent contractors, describing them as micro-entrepreneurs and citing examples in the testimony.

The sponsor told the committee the measure aligns Arkansas with standards in other states and would allow direct sellers to retain their current independent-contractor status. He said he had spoken with an official (identified in the transcript as Dr. Childers) and that the Department of Labor had not yet signed off on compliance; he added he would reassess the bill if federal review returned an adverse opinion.

No public testimony was recorded, the sponsor closed, and the committee approved the bill by voice vote.