This bill restricts states from taxing the income of individuals who live in one state but work remotely for employers located elsewhere. It establishes that a state can only tax an individual's compensation if they are physically present within that state during the time the work is performed, preventing taxation based on where the employer is headquartered. The legislation specifically prohibits states from using "convenience of the employer" tests to claim taxing rights over workers who are physically located in another jurisdiction. These rules apply immediately upon enactment and affect nonresident employees and independent contractors, while leaving corporate taxes and unearned income regulations unchanged.
This bill, titled the Protecting Independent Contractors from Discrimination Act of 2026, aims to extend federal anti-discrimination protections to individuals who work under independent contracts. It directly affects independent contractors by legally classifying them as employees under several major federal laws, including Title VII of the Civil Rights Act, the Age Discrimination in Employment Act, and the Americans with Disabilities Act. The key mechanism involves amending the definitions of "employee" or "applicant for employment" within these existing statutes to explicitly include independent contractors. Consequently, independent contractors would gain the same legal recourse against discrimination based on race, age, disability, genetic information, and other protected categories as traditional employees.
The Restoring Justice for Workers Act prohibits employers from requiring workers to sign agreements that force them to resolve disputes through individual arbitration rather than in court or as part of a group. It bans retaliation against employees who refuse to arbitrate and mandates that any post-dispute arbitration agreements be truly voluntary, requiring plain language explanations, a 45-day waiting period, and written consent. The bill also amends the National Labor Relations Act to make it illegal for employers to enter into or enforce contracts that prevent workers from joining together to file joint or class-action lawsuits regarding workplace rights. These changes apply to all workers, including independent contractors, and take effect immediately upon enactment.
This bill requires publicly traded companies and certain government agencies to report quarterly data on how artificial intelligence affects their U.S. workforce. Specifically, these organizations must disclose the number of employees laid off due to AI automation, new hires resulting from AI integration, unfilled positions caused by AI, and individuals receiving AI-related retraining. The Department of Labor will collect this information, analyze the net impact of these changes, and publish the reports on its website while also submitting them to Congress. Additionally, the bill establishes a process for the Department of Labor to determine which non-publicly traded companies should be included in these reporting requirements based on factors like company size and industry.
This bill establishes federal rules to protect workers who use earned wage access services, which allow employees to receive a portion of their pay before their regular paycheck date. It requires providers to always offer a free option for accessing wages alongside any paid options and mandates clear, upfront disclosures about fees, access limits, and the voluntary nature of any tips. The legislation also prohibits providers from sharing fees with employers, using debt collection tactics to recover unpaid amounts, or discriminating against consumers based on protected characteristics. Additionally, the bill prevents providers from treating these services as credit or loans under federal law and gives the Consumer Financial Protection Bureau authority to create specific regulations within 180 days of enactment.
The National Commission to Combat Workplace Sexual Harassment Act establishes a temporary commission to investigate and study workplace sexual harassment, sexual assault, and other misconduct across various industries. This independent body will gather testimony from workers, experts, and advocates to analyze causes, reporting mechanisms, and the effectiveness of current laws, with a specific focus on how factors like race, gender identity, and gig economy work affect vulnerability. Composed of eleven appointed members who serve without pay, the commission is required to submit a comprehensive report with recommendations to the President and Congress within 18 months and hold a public hearing on those findings. The commission will have access to federal resources and staff support but will cease to exist 60 days after submitting its final report.
The Gig Is Up Act requires large companies with over $100 million in annual revenue and at least 10,000 independent contractors to withhold taxes from payments made to these workers. This provision treats the earnings of these specific contractors as wages for Social Security purposes, effectively doubling the employer's portion of the tax on their behalf. The law applies to payments made after December 31, 2026, and includes rules for grouping related businesses together to determine if they meet the size thresholds.
The UBER Act establishes new federal requirements for ride-sharing and shared-transportation companies to receive government contracts. To qualify, every driver must be at least 21 years old, hold a valid license from a single state, pass a road test, and demonstrate sufficient English proficiency to communicate with the public and read traffic signs, with an exception for drivers who use American Sign Language. Companies that fail to certify that all their drivers meet these standards will be banned from federal contracts for five years.
This bill classifies certain temporary healthcare professionals, including qualified locum tenens professionals and advanced care practitioners, as independent contractors. This classification applies specifically for the purposes of the Fair Labor Standards Act and the National Labor Relations Act. To qualify, these individuals must provide temporary physician or advanced care practitioner services for up to one continuous year at a single site, under a written contract acknowledging their independent contractor status. Eligible professionals include physicians, nurse practitioners, physician's assistants, and certified registered nurse anesthetists.
The RURAL Healthcare Act proposes to reclassify certain temporary healthcare professionals as independent contractors for the purposes of federal labor laws. It specifies that qualified locum tenens professionals and advanced care practitioners, such as physicians, nurse practitioners, and physician's assistants, would not be considered employees under the Fair Labor Standards Act or the National Labor Relations Act. This reclassification applies if they provide temporary services for up to one continuous year at a site and operate under a written contract stating they are not employees. The bill directly affects these healthcare providers and the facilities that contract for their temporary services.
