to employee.
1.If a local or out-of-state employer secured the payment of compensation to that
employer's employees by contributing premiums to the fund, the employee, and the
parents in the case of a minor employee, or the representatives or beneficiaries of
either, do not have a claim for relief against the contributing employer or against any
agent, servant, or other employee of the employer for damages for personal injuries,
but shall look solely to the fund for compensation.
2.If a client company contracts with a staffing service for an employee's services, the
client company and the staffing service are immune from any claim for relief by that
employee or by another employee of the client company or staffing service, to the
same extent granted under this title to contributing empl
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to employee.
1. If a local or out-of-state employer secured the payment of compensation to that
employer's employees by contributing premiums to the fund, the employee, and the
parents in the case of a minor employee, or the representatives or beneficiaries of
either, do not have a claim for relief against the contributing employer or against any
agent, servant, or other employee of the employer for damages for personal injuries,
but shall look solely to the fund for compensation.
2. If a client company contracts with a staffing service for an employee's services, the
client company and the staffing service are immune from any claim for relief by that
employee or by another employee of the client company or staffing service, to the
same extent granted under this title to contributing employers if the client company or
staffing service secured the payment of compensation in accordance with this title.
Although an account must include the name of the staffing service, the employee is
considered an employee of the client company and staffing service for purposes of
application of immunity for injuries incurred by or caused by that employee.
3. For purposes of this section:
a. "Client company" means a person that contracts to receive services within the
course of that person's usual business from a staffing service or that contracts to
lease any or all of that person's employees from a staffing service.
b. "Staffing service" means an employer in the business of providing the employer's
employees to persons to perform services within the course of that person's usual
businesses. The term includes professional employer organizations' staff leasing
companies, employee leasing organizations, and temporary staffing companies.
The term "staffing service" must be broadly construed to encompass entities that
offer services provided by a professional employer organization, staff leasing
company, employee leasing organization, or temporary staffing company
regardless of the term used.
(1) Within the meaning of staffing service as used in this section, "temporary
staffing" or "temporary staffing service" means an arrangement by which an
employer hires its own employees and assigns the employees to a client
company to support or supplement the client company's workforce in a
special work situation, including:
(a) An employee absence;
(b) A temporary skill shortage;
(c) A seasonal workload; or
(d) A special assignment or project with a targeted end date.
(2) The term does not include arrangements in which the majority of the client
company's workforce has been assigned by a temporary staffing service for
a period of more than twelve consecutive months.
4. A staffing service that provides only temporary staffing services is the employee's
employer. The temporary staffing service shall maintain a workforce safety and
insurance account in the temporary staffing service's name and report the wages for
those workers annually to the organization. All other staffing services shall:
a. Report payroll detail as directed by the organization for each North Dakota client
company.
b. Maintain complete and separate records of the payroll of the staffing service's
client companies. Claims must be separately identified by the staffing service for
each client company.
c. Share employer responsibilities with the client company, including retention of the
authority to hire, terminate, discipline, and reassign employees. If the contractual
agreement between a staffing service and a client company is terminated, the
employees become the sole employees of the client company.
d. Notify the organization of the client company's name, workforce safety and
insurance account number, and the date the staffing service began providing
services to the client company. The staffing service shall provide this information
upon entering an agreement with a client company, but no later than fifteen days
from the effective date of the written agreement.
e. Supply the organization with a copy of the agreement between the staffing
service and client company.
f. Notify the organization upon termination of any agreement with a client company,
but no later than fifteen days from the effective date of termination.
g. Notify the staffing service's client companies of an uninsured status for failure to
pay workforce safety and insurance premiums within fifteen days of notice by the
organization.
5. A staffing service that provides both temporary and long-term employees is subject to
the reporting requirements associated with the type of employee provided to the client
company.
6. a. The organization shall maintain all employer data for each client company
requiring coverage under this title. If a client company enters an agreement with a
staffing service, the organization shall generate a master billing for the staffing
service detailing the staffing service's client companies.
b. Rate classifications for employees provided by a staffing service must be those
which would apply as if the work were performed by the employees of the client
company. A client company is eligible for organization safety discount and
dividend programs. If a client company enters an agreement with a staffing
service, the client company shall retain the client company's experience rate, if
applicable.
c. Both a staffing service and client company under this section are considered
employers for purposes of section 65-04-26.1. A staffing service that provides
employees to a client company that has been determined to be uninsured or
ineligible for coverage under sections 65-04-27.1 and 65-04-33 may not secure
workforce safety and insurance coverage for those employees.
7. a. The organization shall determine whether an entity is a staffing service. If the
organization determines an entity is a staffing service, the organization may
further determine if the entity is a temporary staffing service. In rendering either
determination, the organization may issue a decision under section 65-04-32. If
the organization determines an entity is not a staffing service, the client company
shall maintain a workforce safety and insurance account and pay the premium for
coverage of the employees.
b. The factors the organization may consider in determining whether an entity is a
staffing service include the number of client companies handled by the staffing
service, the length of time the staffing service has been in existence, the extent to
which the staffing service extends services to the general public, the degree to
which the client company and staffing service are separate and unrelated
business entities, the repetition of officers or managers between the client
company and staffing service, and the extent to which a client company has an
ownership or other interest in the staffing service. The organization also may
consider the scope of the services provided by the staffing service, the
relationship between the staffing service and the client company's workers, the
written agreement between the staffing service and the client company, and any
other factor deemed relevant by the organization.
c. The organization may require information from any staffing service, including a
list of current client company accounts, staffing assignments, payroll information,
and rate classification information. A client company shall provide any information
requested by the organization regarding any staffing service.
8. The organization may adopt rules consistent with this section which further define
client company and staffing service and which provide a procedure by which the
organization may determine whether an entity meets these definitions.