Three new, related SAAM Drafts have been posted.  Two of these Drafts represent changes to existing policy sections that will remain in effect until replaced.  These drafts also have been renumbered and will be relocated in SAAM when finalized.  SAAM 5506, Employee vs. Independent Contractor, will be renumbered SAAM 9050 and SAAM 5508, Independent Contractors: Considerations and Concerns, will become SAAM 9051.

These two drafts deal with the topic of independent contractors.  The proposed changes reflect the recent announcement by the U.S. Department of Labor (DOL) to discontinue the use of the “economic realities” test as its principal means of evaluating the legal status of a worker.

The DOL’s decision to shift its focus does not affect the validity of the underlying principles used to make worker status determinations; rather, it merely affects how those principles will be emphasized in DOL examinations.  Because of this, the SAAM Drafts under consideration remove references to the DOL, but retain the economic realities test as a viable tool for State agencies to use in considering their proper, legal relationship with workers.  The Draft of SAAM 9050 also provides clarifying language as to the type of training that should be made available to independent contractors at the State’s expense. 

Because these Drafts merely alter existing SAAM sections, the review period has been reduced to thirty (30) days.

A new SAAM Draft, SAAM 9052, Leased Staff, deals with the proper treatment of workers provided by temporary services.  Because of its significance, its review period will be limited to thirty (30) days, as well.

These new SAAM Drafts have been posted to /publications/saam/saam-draft.

Drafts are posted for comment and do not reflect policy statements that are in effect. Agencies are requested to review these Drafts within thirty (30) days of initial posting and send their comments to [email protected].

Comments, corrections, complaints and compliments should be emailed to [email protected].  Please include the number of the SAAM section and relevant paragraph(s) (SAAM NNNN-nn.nn.nn) in the subject line.