Legislation in the U.S. to clarify who exactly is an independent contractor was introduced this week, the Customized Logistics and Delivery Association (CLDA) announced. The CLDA, founded in 1987, is the largest trade association in the logistics and delivery industry within the United States.
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The Bill, if passed, would give a formal definition to who is an independent contractor.
In order to meet the criteria, the individual “either has investment in equipment, or is subject to income fluctuation” and the person must have control of their time worked and “performance of services.”
“This bill provides much-needed clarity and guidance for businesses that partner with independent contractors,” said Kirk Godby, the President of CLDA. “Over 89% of CLDA’S members said that their ability to utilize independent contractors was important to their business success, in a recent survey conducted by the association.”
The bill is now in the Ways and Means Committee, one of the most influential committees within the US House of Representatives. There is no definite date on the passage of the bill.
