What New York Employers Should Know about the Freelance Isn’t Free Act
New Yorkers utilizing freelance workers or independent contractors for work totaling $800 or more will soon need to comply with New York’s Freelance Isn’t Free Act (“FIFA”). The Act, which was signed into law by Governor Hochul in November 2023, is set to take effect on August 28, 2024. The statute provides new protections and remedies for “freelance workers” (i.e., “independent contractors,” or those whose compensation is typically reported on an IRS Form 1099). FIFA applies to any service arrangement worth $800 or more, whether under a s ingle contract or multiple contracts over a 120-day period. The law expands and builds upon a similar local law New York City enacted in 2016. The statute provides specific requirements regarding contracts, payment, record-keeping and anti-discrimination. Given the breadth of the law and the increasing frequency with which businesses are utilizing freelancers, the implications for compliance are significant. What does FIFA require? Written Con...