State offices and all DLLR physical locations will be closed to the public December 24 & December 25, 2014. However, Unemployment Insurance telephone and Web operations WILL be available on Wednesday, December 24.

Workplace Fraud Task Force

 

Joint Enforcement Task Force on Workplace Fraud

 

The Maryland General Assembly passed the Maryland Workplace Fraud Act of 2009 with bipartisan support with a goal to protect workers and level the playing field for law-abiding business owners. The Maryland Department of Labor, Licensing and Regulation was charged with implementing the law, and the legislation established the Maryland Workplace Fraud Unit – an investigative unit in the Maryland Department of Labor’s Division of Labor and Industry. Governor Martin O’Malley also established a Joint Enforcement Task Force on Workplace Fraud (Task Force) to coordinate enforcement efforts with the appropriate state agencies, facilitate data and information sharing, and increase awareness about workplace fraud. 

Workplace fraud – the knowing misclassification or non-reporting of employees – has been a concern for Maryland workers and employers for generations. Maryland first took action in 1942 when the General Assembly enacted legislation protecting the employee-employer relationship.

Still, some employers continue to knowingly misclassify employees in an attempt to bolster their bottom line. Workplace fraud cheats employees out of overtime wages, workers’ compensation benefits and unemployment insurance. It cheats taxpayers. And it cheats honest business owners who are forced to compete against lower bids from competing companies that are knowingly skirting the law. Maryland data shows that approximately 20 percent of audited employers misclassify employees as independent contractors. A federal study shows that as many as three out of 10 employers misclassified employees as independent contractors. Finally, workplace fraud costs the taxpayers millions of dollars in tax revenues that could be used for the benefit of the state.

The Maryland Workplace Fraud Act protects working families and stands up for honest business owners. When more businesses pay their fair share of taxes, everyone benefits – workers are protected and Marylanders have lower taxes. Maryland’s Task Force consists of the Department of Labor, Licensing and Regulation, including the Commissioner of Labor and Industry and the Assistant Secretary for the Division of Unemployment Insurance; the Attorney General; the Comptroller; the Workers’ Compensation Commission; and the Maryland Insurance Administration.

Executive Order 01.01.2009.09 (PDF document, 182KB, download Adobe Acrobat for free)

2014 Annual Report of the Joint Enforcement Task Force on Workplace Fraud (PDF document, 5.1MB, download Adobe Acrobat for free)

2013 Annual Report of the Joint Enforcement Task Force on Workplace Fraud (PDF document, 768KB, download Adobe Acrobat for free)

2012 Annual Report of the Joint Enforcement Task Force on Workplace Fraud (PDF document, 3.1MB, download Adobe Acrobat for free)

2011 Annual Report of the Joint Enforcement Task Force on Workplace Fraud (PDF document, 9.8MB, download Adobe Acrobat for free)

2010 Annual Report of the Joint Enforcement Task Force on Workplace Fraud (PDF document, 2.5MB, download Adobe Acrobat for free)

2009 Annual Report of the Joint Enforcement Task Force on Workplace Fraud:

Complaint form (Word document, 288KB, download Word viewer for free) (PDF document, 34KB, download Adobe Acrobat for free)