Attention Delaware Contractors! Don’t forget to register by August 1, 2021.
Reminder: New Delaware Contractor Registry deadline is Aug. 1, 2021
In an effort to prevent workplace fraud and employee misclassification, Delaware is requiring all businesses that perform construction or maintenance services in Delaware to register for the new Delaware Contractor Registry by Aug. 1, 2021. There is a cost for the registration, and penalties for any violations.
The Registry is mandated by the Delaware Contractor Registration Act, codified in 19 Del. C. Chapter 36. The Delaware Contractor Registration Act is intended to decrease workplace fraud by using the registry to track contractor activity and avoid employee misclassification. A Department of Labor press release from July 31, 2019, notes an established practice where some contractors hire employees and then classify those employees as independent contractors to avoid paying for workers compensation, unemployment, or other benefits traditionally owed to regular employees.
Delaware has streamlined the registration process through their Delaware One Stop system at https://onestop.delaware.gov. Additional information on how to register is available at the Department of Labor website.