Professional employer organizations: regulation.

Under existing law, the Employment Development Department within the Labor and Workforce Development Agency is charged with administering the state's unemployment insurance program, which provides for the compulsory setting aside of funds to be used for a system of unemployment insurance providing benefits for persons unemployed through no fault of their own. Existing law also requires employers, as defined, to register with the department and imposes penalties on employers for failure to register. This bill would prohibit a person or entity from providing, advertising, or otherwise holding itself out as providing professional employer services in the state, unless that person or entity is registered with the department.