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Title XVIII LABOR AND INDUSTRIAL RELATIONS

Chapter 285

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  285.710.  Collective bargaining agreements, existing contracts, licensing requirements not impacted by act — government benefits, employees are employees of client only. — 1.  Nothing contained in sections 285.700 to 285.750 or in any professional employer agreement shall affect, modify, or amend any collective bargaining agreement or the rights or obligations of any client, PEO, or covered employee under the federal National Labor Relations Act, the federal Railway Labor Act, or sections 105.500 to 105.530.

  2.  Nothing in sections 285.700 to 285.750 or in any professional employer agreement shall:

  (1)  Diminish, abolish, or remove rights of covered employees to a client or obligations of such client to a covered employee existing prior to the effective date of a professional employer agreement;

  (2)  Affect, modify, or amend any contractual relationship or restrictive covenant between a covered employee and any client in effect at the time a professional employer agreement becomes effective.  A professional employer agreement shall also not prohibit or amend any contractual relationship or restrictive covenant that is entered into subsequently between a client or a covered employee.  A PEO shall have no responsibility or liability in connection with, or arising out of, any such existing or new contractual relationship or restrictive covenant unless the PEO has specifically agreed otherwise in writing; or

  (3)  Create any new or additional enforceable right of a covered employee against a PEO that is not specifically provided by the professional employer agreement or sections 285.700 to 285.750.

  3.  Nothing contained in sections 285.700 to 285.750 or any professional employer agreement shall affect, modify, or amend any state, local, or federal licensing, registration, or certification requirement applicable to any client or covered employee.

  4.  A covered employee who shall be licensed, registered, or certified according to law or regulation is deemed solely an employee of the client for purposes of any such license, registration, or certification requirement.

  5.  A PEO shall not be deemed to engage in any occupation, trade, profession, or other activity that is subject to licensing, registration, or certification requirements, or is otherwise regulated by a governmental entity solely by entering into and maintaining a coemployment relationship with a covered employee who is subject to such requirements or regulation.

  6.  A client shall have the sole right of direction and control of the professional or licensed activities of covered employees and of the client's business.  Such covered employees and clients shall remain subject to regulation by the regulatory or governmental entity responsible for licensing, registration, or certification of such covered employees or clients.

  7.  For purposes of the determination of tax credits, economic incentives, or other benefits provided by this state or any other government entity and based on employment, covered employees shall be deemed employees solely of the client.  A client shall be entitled to the benefit of any tax credit, economic incentive, or other benefit arising as the result of the employment of covered employees of such client.  Notwithstanding that the PEO is the W-2 reporting employer, the client shall continue to qualify for such benefit, incentive, or credit.  If the grant or amount of any such benefit, incentive, or credit is based on the number of employees, then each client shall be treated as employing only those covered employees coemployed by the client.  Covered employees working for other clients of the PEO shall not be counted.  Each PEO shall provide, upon request by a client or an agency or department of this state, employment information reasonably required by any agency or department of this state responsible for administration of any such tax credit, economic incentive, or other benefit that is necessary to support any request, claim, application, or other action by a client seeking any such tax credit, economic incentive, or other benefit.

  8.  With respect to a bid, contract, purchase order, or agreement entered into with the state or a political subdivision of the state, a client company's status or certification as a minority business enterprise or a women's business enterprise, as those terms are defined in section 37.020, shall not be affected because the client company has entered into an agreement with a PEO or uses the services of a PEO.

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(L. 2018 H.B. 1719)


---- end of effective   28 Aug 2018 ----

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