sec.302Misrepresenting employment as independent contracting arrangement

### sec.302 Misrepresenting employment as independent contracting arrangement An employer who employs, or proposes to employ, an individual must not represent to the individual that the contract of employment under which the individual is, or would be, employed by the employer is a contract for services under which the individual performs, or would perform, work as an independent contractor. This subsection is a civil penalty provision. Subsection (1) does not apply if the employer proves that, when the representation was made, the employer— did not know the contract was a contract of employment rather than a contract for services; and was not reckless as to whether or not that was the case. (sec.302-ssec.1) An employer who employs, or proposes to employ, an individual must not represent to the individual that the contract of employment under which the individual is, or would be, employed by the employer is a contract for services under which the individual performs, or would perform, work as an independent contractor. This subsection is a civil penalty provision. (sec.302-ssec.2) Subsection (1) does not apply if the employer proves that, when the representation was made, the employer— did not know the contract was a contract of employment rather than a contract for services; and was not reckless as to whether or not that was the case. - (a) did not know the contract was a contract of employment rather than a contract for services; and - (b) was not reckless as to whether or not that was the case.