§ 27-16-7-1 — Requirements of co-employment relationships

Except as provided in a professional employer
agreement, the following apply to a co-employment relationship:
(1) The client:
(A) may exercise and enforce all rights; and
(B) is obligated to perform all duties and responsibilities;
that otherwise apply to an employer in an employment
relationship, that are allocated to the client by the professional
employer agreement and this article, and that are not specifically
allocated to the PEO by the professional employer agreement and
this article.
(2) The PEO:
(A) may exercise and enforce only the rights; and
(B) is obligated to perform only the duties and responsibilities;
that are required of the PEO or specifically allocated to the PEO
by this article and the professional employer agreement.
(3) Unless otherwise expressly agreed by the PEO and the client
in the professional employer agreement, the client retains the
exclusive right to direct and control the covered employees as
necessary to:
(A) conduct the client's business;
(B) discharge the client's fiduciary responsibilities; or
(C) comply with licensure requirements that apply to the client
or the covered employees.

Legislative History

As added by P.L.245-2005, SEC.7.