Wyoming Employment Law Update – March 2017

Wyoming

Business Relationship Between Franchisors and Franchisees

On March 6, 2017, Wyoming Governor Matt Mead signed legislation (S.F. 94) clarifying the relationship between franchisors and franchisees and between franchisors and employees of franchisees. The bill provides that neither a franchisee nor a franchisee’s employee is an employee of the franchisor, unless otherwise agreed to in writing by the franchisor and the franchisee. However, this does not apply to a voluntary agreement between the United States Department of Labor and a franchisee. Under the law, a franchisee and franchisor have the same definitions as set out in 16 C.F.R. 436.1.

The law goes into effect on July 1, 2017.

Read WY S.F. 94

Workers’ Compensation Rate Discount, Modification, and Credit

On March 3, 2017, Wyoming Governor Matt Mead signed legislation (S.F. 167) related to workers’ compensation. The bill modifies the rate discount for compliance with a drug testing program. provides for an experience modification rate for out of state employers moving to Wyoming, and provides a premium credit for employers.

Specifically, the bill:

  • Amends the statute providing discounts to the workers’ compensation rates paid by employers. It increases the discount an employer receives for participating in an approved drug and alcohol testing program from five percent to 10 percent, and increases the total of all discounts an employer can receive from 25 percent to 30 percent.
  • Provides for an out-of-state employer beginning new operations in Wyoming to receive an experience modification rating based on the employer’s out of state operations. This rating affects how much the employer’s workers’ compensation rate will be based on its claim history. The bill allows the Department of Workforce Services to require out-of-state employers to submit any necessary information for the purpose of determining the employer’s experience modification rating. The department is authorized to draft rules for this purpose.
  • Requires the Department of Workforce Services to establish a workers’ compensation premium credit for employers who made all required workers’ compensation payments for calendar year 2016. This credit will be an amount determined by the department and can be used by employers toward their premium obligations between July 1 and December 31, 2017. The department will implement the premium credit through its rulemaking authority under W.S. 27-14-201(q).

The section amending the rate discount and experience modification rating statutes is effective July 1, 2017, and the section providing the premium credit is effective immediately.

Read WY S.F. 167