What the Freelance Isn’t Free Act Means for Independent Contractors – New York State Law

The ability to work from home is more significant than traditional employment arrangements. However, this flexibility does not mean that they’ll lose a fair amount of compensation or benefit like insurance protection. There are some who fear that the new legislation could undermine these advantages altogether.
The contracts employers must create to protect workers

This law does not apply for freelancers and independent contractors however, it also applies to workers with a salary of more than $800 per year. This is why employers could sign agreements that include employees who are previously exempt, such as ones paid by hour. Contractors are compensated per hour or per day if they’re working under an agreement in conjunction with New York City. Prior to a contractor being able to start work for an employer, they have to sign the contract with a copy. Both parties have to sign it. Employers must keep copies of every contract until that contractor has completed the task. Similar rules apply to every other trade including HVAC contractors. There is a way to make a complaint to your local Department of Labor, or the attorney general’s of the office in the event that a customer owes the company money. Any employer that does not adhere to the law may be subject to penalities, either private or civil. Workers ‘ compensation lawyers could additionally have rights.


Independent consultants that provide services with the help of a written agreement are not employees of customers. They are self-employed and accountable to pay their own expenses. They have to pay self-employment taxes on the earned income. Independent consultants who do not possess a signed contract constitute employees for customers. Thus, they have access to any employment law protections, including sick leave and health insurance coverage.

The law isn’t applicable for workers providing services pursuant to an implied or oral contract. Workers who are bound by collective bargaining agreements aren’t subject to law. Also, it will not apply to employees or owners of an entity which pays their income taxes. In the same way, it doesn’t apply to sole proprietors.


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