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Such workers are exempt from coverage of most relevant federal employment laws, including the National Labor Relations Act (NLRA). That means, for example, an independent contractor generally does not have the right to form or join a union in the private sector.
As an independent contractor, the terms and conditions of the work you perform are set out in a contract between you and the employer. Even though you are not considered an employee under federal labor law, you may still join a union.
Section 403 of PROMESA modified Section 6(g) of the Fair Labor Standards Act (FLSA) to allow employers to pay employees in Puerto Rico who are under the age of 25 years a subminimum wage of not less than $4.25 per hour for the first 90 consecutive calendar days after initial employment by their employer.
Employees and dependent contactors in Ontario are also entitled to unionize and engage in collective bargaining under the LRA, and are entitled to reasonable notice of termination or pay in lieu thereof under the common law. Notably, independent contractors are not entitled to any of these protections.
From an employment law perspective, this means federal statutes such as Title VII, FLSA, ADA, ADEA, FMLA, USERRA, OSHA, ERISA, COBRA, among others, apply to Puerto Rico.
So, while independent contractors can conceivably strike, without the protections of federal labor law those workers lose the leverage of withholding labor from employers and would likely be fired, replaced, and left with no legal recourse.
Supervisors and Managers Employees who are tasked with managing other employees, or making major company decisions with their own independent judgement, cannot join unions. They are classified as part of the company's bargaining power, not the employees.
The main pieces of employment legislation, chief among which are the Labour Relations Act 66 of 1995 (LRA) the Basic Conditions of Employment Act 75 of 1997 (BCEA) and the Employment Equity Act 55 of 1998 (EEA), apply to employees and not independent contractors.
Puerto Rico is not an 'employment at will' jurisdiction. Thus, an indefinite-term employee discharged without just cause is entitled to receive a statutory discharge indemnity (or severance payment) based on the length of service and a statutory formula.
Companies looking to hire workers from Puerto Rico must comply with Public Law 87. It requires employers who are recruiting on the island to obtain authorization by the Secretary of Labor and Human Resources of Puerto Rico, according to Odemaris Chacon, a labor attorney with Estrella, based in Puerto Rico.