Required Notice under Article 25-B of the Labor Law

Attention All Employees, Contractors and Subcontractors:
You are Covered by the Construction Industry Fair Play Act

The law says that you are an employee unless:

• You are free from direction and control in performing your job, and
• You perform work that is not part of the usual work done by the business that hired you, and
• You have an independently established business.

Your employer cannot consider you to be an independent contractor unless all three of these facts
apply to your work.

It is against the law for an employer to misclassify employees as independent contractors or pay employees off the books.

Employee Rights: If you are an employee, you are entitled to state and federal worker protections.
These include:

• Unemployment Insurance benefits, if you are unemployed through no fault of your own, able to work, and otherwise qualified,
• Workers’ compensation benefits for on-the-job injuries,
• Payment for wages earned, minimum wage, and overtime (under certain conditions),
• Prevailing wages on public work projects,
• The provisions of the National Labor Relations Act, and
• A safe work environment.

It is a violation of this law for employers to retaliate against anyone who asserts their rights under
the law. Retaliation subjects an employer to civil penalties, a private lawsuit or both.

Independent Contractors: If you are an independent contractor, you must pay all taxes and Unemployment Insurance contributions required by New York State and Federal Law.

Penalties for paying workers off the books or improperly treating employees as independent contractors:

• Civil Penalty

First offense: Up to $2,500 per employee.

Subsequent offense(s): Up to $5,000 per employee

• Criminal Penalty

First offense: Misdemeanor - up to 30 days in jail, up to a $25,000 fine and debarment from performing public work for up to one year.

Subsequent offense(s): Misdemeanor - up to 60 days in jail or up to a $50,000 fine and debarment from performing public work for up to 5 years.

If you have questions about your employment status or believe that your employer may have
violated your rights and you want to file a complaint, call the Department of Labor at
(866) 435-1499 or send an email to dol.misclassified@labor.ny.gov. All complaints of fraud and
violations are taken seriously. You can remain anonymous.

IA 999 (09/16)