Bill Attacking PEOs in FL House Commerce Committee Not Being Heard This Week

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Florida House Bill 1305

I am happy to understand from our friends at the Florida Association of Professional Employer Organizations (“FAPEO”) that Florida House Bill 1305 will not be heard by The House Commerce Committee Agenda for their Tuesday, April 6’th meeting. The House Commerce Committee agenda can be found here – https://www.myfloridahouse.gov/Sections/Committees/committeesdetail.aspx?CommitteeId=3098

…along with all of the members of this committee.

While FAPEO and NAPEO will continue working with members of committee to help them understand this is a bad bill, it cannot be stressed enough how much your grass roots efforts has slowed down the momentum of what seemed to be a runaway freight train a few weeks back. Thanks for stepping up, but its not over yet this year never mind in the future. There has never been a gap in what a PEO covers and we need to use this opportunity to memorialize this lack of issue. It should be noted this bill can still appear on a future committee meeting agenda this year and for sure if not passed, will be teed up for another run next year at PEO. 

Thank you for all of your help with this bill and let’s not just defeat it this year, let’s bury it for good.

*** A reminder announcement from FAPEO on the bill below ***

From: Robert Skrob 
Subject: Bill Attacking PEO

HB 1305 – Workers’ Compensation Insurance for Employee Leasing Companies has been assigned to the House Commerce Committee.  At 4:30 pm this Friday we will find out if the bill will be considered at the House Commerce Committee next Tuesday.  

The time for outreach to members of the committee is NOW.   

Here’s text of the bill so you can see how damaging that language could be to the PEO Industry. 

Like the bill before, the amended bill shifts liability from construction contractors to PEOs for workers compensation fraud.  

Will you support our efforts to kill this bad bill by sending  an email to members of the House Commerce Committee? If this bill moves forward, these are the individuals who will consider this bad proposal.  It’s important to start our outreach now.  

If you know any of these Representatives personally, please let me know.  

Here are some talking points to select from and adapt for this communication:  

  • An employee leasing company covers 100 percent of their employees with workers compensation coverage.
  • What bill proponents call a “gap in coverage” is simply workers compensation fraud in construction (paying under the table) and has been persistent in Florida in the traditional business model as well with subcontractors utilizing an employee leasing company arrangement.
  • Rather than work to address the underlying problem of workers comp fraud, the bill only shifts liability from general contractors to employee leasing companies for workers comp fraud.
  • This bill would only increase workers compensation fraud in construction in Florida.
  • It financially encourages general contractors to turn a blind eye to both the price of a subcontractors work and checking workers for employees of subcontractors who are on their jobsite for without  required workers compensation coverage. 

Here are the individuals to contact: 

Thank you for your help. 

To give you a bit of perspective on where this bill is in the Legislative process.  To become law this bill would have to pass House Commerce Committee before reaching the House floor, getting on the agenda and passing the House.  In addition, this bill would need to pass through three committees in the Senate and pass through the Senate floor vote with the exact same language as the House bill.  And, all of this would have to happen by April 30th

We are fighting to kill this bill every step of the way.  Your efforts are a huge help. Thank you! 

Join the Conversation on Linkedin   |   About PEO Compass

The PEO Compass is a friendly convergence of professionals and friends in the PEO industry sharing insights, ideas and intelligence to make us all better.

All writers specialize in Professional Employer Organization (PEO) business services such as Workers Compensation, Mergers & Acquisitions, Data Management, Employment Practices Liability (EPLI), Cyber Liability Insurance, Health Insurance, Occupational Accident Insurance, Business Insurance, Client Company, Casualty Insurance, Disability Insurance and more.

To contact a PEO expert, please visit Libertate Insurance Services, LLC and RiskMD.

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