Tampa, Fla. (October 8, 2021) – Previously, all large employers (those with 250 employees or more) were required to report new hires to a state registry. Florida has now expanded that reporting obligation to all employers regardless of size AND added a reporting requirement for independent contractors.

Effective October 1, 2021, all Florida companies must report to the State Directory of New Hires all newly hired or rehired employees, as well as independent contractors, who are paid $600 or more per calendar year for services. See Section 409.2576.

What is the purpose of this statute?

Previously, employers with 250 or more employees were required to report newly hired and rehired employees to the State Directory of New Hires within 20 days of hire or rehire. Now, however, all Florida businesses – regardless of the number of individuals they employ – are subject to Section 409.2576's reporting requirements. Further, businesses are now required to fulfill reporting requirements for independent contractors who are paid, or will be paid, $600 or more per year.

What has changed?

Previously, employers with 250 or more employees were required to report newly hired and rehired employees to the State Directory of New Hires within 20 days of hire or rehire. Now, however, all Florida businesses – regardless of the number of individuals they employ – are subject to Section 409.2576's reporting requirements. Further, businesses are now required to fulfill reporting requirements for independent contractors who are paid, or will be paid, $600 or more per year.

Are there other concerns?

Several concerns have been raised that various state or federal agencies may use the independent contractor data in their investigations over misclassification of employees as independent contractors.

To avoid misclassification issues or reporting errors, Florida businesses should engage with counsel to review their internal procedures and ensure proper compliance with this new law.

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