Senate Bill 256 aims to clarify the employment status of delivery network couriers and transportation network drivers, defining them as independent contractors rather than employees under certain conditions. Specifically, if a network company does not impose restrictions on drivers regarding their work hours, contract termination for not accepting service requests, or their ability to work for other companies, then those drivers will not be considered employees for purposes of workers' compensation, minimum wage laws, and unemployment insurance. Additionally, the bill introduces provisions for portable benefit accounts, allowing network companies to contribute to these accounts for eligible drivers, which can be used for various purposes such as compensating for lost income or paying insurance premiums.

The bill also establishes requirements for insurance coverage, mandating that network companies provide group or blanket accident and sickness insurance for their drivers, with specific coverage amounts outlined. It includes provisions for penalties if funds from portable benefit accounts are not used for permissible purposes. The bill modifies existing statutes to incorporate these changes, including the creation of new definitions for terms such as "application-based driver" and "delivery network company." Overall, the legislation seeks to enhance the benefits and protections available to drivers while maintaining their status as independent contractors.

Statutes affected:
Bill Text: 71.63(2), 71.63, 102.07(8)(a), 102.07