Contact: Trevor Monk, [email protected] In A New Window
Harrisburg, PA –The Pennsylvania Department of Labor & Industry (L&I) has fined a Cambria County-based drywall company $32,250 for misclassifying 43 construction workers, a violation of the Pennsylvania Construction Workplace Misclassification ActOpens In A New Window (Act 72). Worker misclassification occurs when an employer wrongly classifies a worker as an independent contractor instead of an employee, denying them essential employee rights and benefits. L&I is urging employers to familiarize themselves with Act 72Opens In A New Window to ensure full compliance and avoid costly penalties.
L&I's Office of Unemployment Tax Services discovered the misclassification during a routine compliance audit and referred the matter to L&I's Bureau of Labor Law Compliance (BLLC) for investigation. BLLC concluded that Keystone Drywall misclassified 43 construction workers as independent contractors, in violation of Act 72.
"Misclassification jeopardizes workers' access to the unemployment and workers' compensation benefits to which they are entitled, in addition to depriving them of many other rights they are entitled to under the law," L&I Secretary Nancy A. Walker said. "At L&I, we collaborate across bureaus to act when we see evidence of worker misclassification. We are also taking steps to be transparent about our commitment to protecting workers from misclassification – and the potential...
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