SB227: SB227 Labor and Industrial Relations; protections for freelance workers; provide

Currently, Georgia law has no specific protections for freelance workers who are paid to provide services outside of traditional employment. This bill would add a new chapter to Georgia's labor code called the 'Freelance Isn't Free Act' covering people hired to do at least $800 worth of work (alone or aggregated over 120 days), with exceptions for sales representatives, licensed legal or medical professionals, and construction contractors. Hiring parties would have to put freelance agreements in writing, including names, a description of services, pay rate, and payment timing, and keep those contracts for six years. Freelancers would generally have to be paid within 30 days of finishing work if the contract does not specify a date, and hiring parties could not retaliate against freelancers who assert their rights. The Commissioner of Labor would handle complaints and information facilitation, freelancers could sue for damages including statutory penalties, and the Attorney General could pursue hiring parties with a pattern of violations for penalties up to $25,000. The law would take effect as soon as the Governor signs it and would apply to contracts entered into on or after that date.

• Creates a new chapter of Georgia law, the 'Freelance Isn't Free Act,' defining who counts as a freelance worker and a hiring party.
• Requires hiring parties to put freelance work agreements in writing and keep copies for at least six years, with model contracts provided by the state.
• Requires freelancers to be paid on the contracted date or within 30 days of finishing work if no date is specified, and bars reducing pay after work has started.
• Prohibits hiring parties from retaliating against freelancers who assert their rights under the new law.
• Sets up a complaint and investigation process through the Commissioner of Labor and allows freelancers to sue for statutory damages, double damages, and attorneys' fees.
• Authorizes the Attorney General to sue hiring parties who show a pattern of violations, with civil penalties up to $25,000 paid into the state treasury.

Freelance workers in Georgia earning at least $800 per contract or over 120 days, and the businesses or individuals who hire them, are directly covered. Sales representatives, licensed legal and medical professionals, and construction contractors are excluded, and the Department of Labor and Attorney General would gain new administrative and enforcement duties.

Freelancers who currently have no formal right to a written contract or a set payment deadline would gain legal protections and a path to file complaints or lawsuits if unpaid or retaliated against. Businesses that hire freelancers would face new paperwork requirements, payment deadlines, and potential financial penalties for violations.

• Section 34-11-2 defines 'freelance worker' as anyone hired for at least $800 in services, excluding sales representatives, licensed legal or medical professionals, and construction contractors.
• Section 34-11-3 requires a written contract with names, service details, pay rate, and payment date, retained for six years and available to the Commissioner on request.
• Section 34-11-4 requires payment on the agreed date or within 30 days of completed work if no date is set, and bars reducing pay as a condition of timely payment.
• Section 34-11-5 prohibits retaliation against freelancers for exercising rights under the chapter.
• Section 34-11-6 and 34-11-7 create a complaint, investigation, and information-facilitation process run by the Commissioner of Labor.
• Section 34-11-8 allows freelancers to sue for damages, including $250 in statutory damages for contract violations and double damages for late payment violations, plus attorneys' fees.
• Section 34-11-9 lets the Attorney General sue hiring parties with a pattern of violations, with civil penalties up to $25,000 payable to the state treasury.
• Section 2 makes the Act effective upon the Governor's signature or becoming law without signature, applying to contracts entered into on or after that date.

1. 2025-02-21Senate Read and Referred (Senate)
2. 2025-02-20Senate Hopper (Senate)

• Josh McLaurin (D, SD-014)Primary sponsor

• freelance workers
• labor law
• worker pay protections
• gig economy
• Georgia Department of Labor