Makes construction contractors civilly liable and/or jointly civilly liable for any claims of wage theft or nonpayment from an employee against the contractor, its subcontractors and any subcontractor.

Plain-English Summary

This bill would hold construction contractors legally responsible when workers don't receive the wages they're owed — even if those workers were hired by a subcontractor rather than the main contractor directly. Under current law, if a subcontractor fails to pay its workers, those workers may have difficulty recovering their wages because the main contractor can claim it wasn't their responsibility. This bill would change that by making the main contractor and subcontractors jointly liable, meaning workers could pursue their unpaid wages from any party in the chain, not just their direct employer.

The bill applies specifically to the construction industry, which commonly uses a layered system of contractors and subcontractors on job sites. For example, if a general contractor hires a subcontractor to do electrical work, and that subcontractor fails to pay its electricians, the workers could take legal action against the general contractor to recover what they're owed. The main contractor would then have the option to seek reimbursement from the subcontractor that actually failed to make the payments.

Workers in the construction industry would benefit from having more avenues to recover unpaid wages. General contractors and upper-tier subcontractors would face new financial exposure for wage violations committed by companies they hire, which could lead them to be more selective about which subcontractors they work with. The bill is currently in the Senate Labor and Gaming Committee, where it has been held for further study.