A bill to clarify the classification of service provider payees as employees or independent contractors in Federal law.

[Congressional Bills 119th Congress] [From the U.S. Government Publishing Office] [S. 4010 Introduced in Senate (IS)] <DOC> 119th CONGRESS 2d Session S. 4010 To clarify the classification of service provider payees as employees or independent contractors in Federal law. _______________________________________________________________________ IN THE SENATE OF THE UNITED STATES March 5, 2026 Mr. Lee introduced the following bill; which was read twice and referred to the Committee on Finance _______________________________________________________________________ A BILL To clarify the classification of service provider payees as employees or independent contractors in Federal law. Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, SECTION 1. SHORT TITLE. This Act may be cited as the ``21st Century Worker Act''. SEC. 2. TABLE OF CONTENTS. The table of contents for this Act is as follows: Sec. 1. Short title. Sec. 2. Table of contents. TITLE I--CLASSIFICATION OF SERVICE PROVIDER PAYEES Sec. 101. Definitions. Sec. 102. Classification. Sec. 103. Mandatory independent contractor classification. Sec. 104. Mandatory employee classification. Sec. 105. Elective classification service provider payees. Sec. 106. Change in classification; periodic classification review. TITLE II--APPLICATION TO OTHER LAWS Sec. 201. Fair Labor Standards Act of 1938. Sec. 202. National Labor Relations Act. Sec. 203. Tax classification. Sec. 204. GAO study on changes needed to other Federal laws. TITLE I--CLASSIFICATION OF SERVICE PROVIDER PAYEES SEC. 101. DEFINITIONS. In this title: (1) Bona fide sole proprietor.--The term ``bona fide sole proprietor'' means a service provider payee who-- (A) has entered into a written contract governing the terms of the goods or services provided to a service recipient payor and the contract is not an employment by agreement; (B) is not required to provide the goods or services exclusively for the service r