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SB00441 • 2026

AN ACT ESTABLISHING A TASK FORCE TO STUDY LABOR LAW VIOLATIONS BY LIMITED LIABILITY COMPANIES AND OTHER BUSINESS ENTITIES.

AN ACT ESTABLISHING A TASK FORCE TO STUDY LABOR LAW VIOLATIONS BY LIMITED LIABILITY COMPANIES AND OTHER BUSINESS ENTITIES.

Labor Taxes
Passed Legislature

This bill passed both chambers and reached final enrollment, even if later executive action is not shown here.

Sponsor
Labor and Public Employees Committee
Last action
2026-04-07
Official status
File Number 475
Effective date
Not listed

Plain English Breakdown

The official text does not define 'Limited Liability Company' or explain how circumvention works beyond establishing new entities.

Task Force to Study Labor Law Violations by Business Entities

This law creates a task force to study if members of limited liability companies or other business entities can avoid labor laws in chapters 557 and 558 by forming new businesses.

What This Bill Does

  • Establishes a task force to study how business owners might bypass state labor rules (chapters 557 and 558) by creating new companies.
  • Requires specific government leaders, including the Speaker of the House and Senate President Pro Tempore, to appoint members within thirty days of the law taking effect.
  • Sets a deadline for the first meeting of the task force no later than sixty days after the law takes effect.
  • Orders the task force to submit a report with findings and recommendations by January 1, 2027.

Who It Names or Affects

  • Members of limited liability companies or other business entities that may be forming new businesses.
  • State officials including the Labor Commissioner, Secretary of State, Commissioner of Revenue Services, and Commissioner of Administrative Services who serve on the task force.
  • Legislative leaders in the House and Senate responsible for appointing members to the group.

Terms To Know

Limited Liability Company
A type of business structure mentioned in the law where owners may have limited personal responsibility, though the text does not define it further.
Task Force
A temporary group created by this law to study a specific problem and make recommendations before ending its work.

Limits and Unknowns

  • The task force only studies potential violations; it does not change existing labor rules or create new penalties.
  • It is unclear what the final report will recommend until January 1, 2027.
  • The law ends when the report is submitted or on January 1, 2027, whichever happens later.

Bill History

  1. 2026-04-07 LCO

    Reported Out of Legislative Commissioners' Office

  2. 2026-04-07 Connecticut General Assembly

    Favorable Report, Tabled for the Calendar, Senate

  3. 2026-04-07 Connecticut General Assembly

    Senate Calendar Number 287

  4. 2026-04-07 LCO

    File Number 475

  5. 2026-03-30 LCO

    Referred to Office of Legislative Research and Office of Fiscal Analysis 04/07/26 12:00 PM

  6. 2026-03-19 LAB

    Joint Favorable Substitute

  7. 2026-03-19 LCO

    Filed with Legislative Commissioners' Office

  8. 2026-03-06 Connecticut General Assembly

    Public Hearing 03/10

  9. 2026-03-05 Connecticut General Assembly

    Referred to Joint Committee on Labor and Public Employees

Official Summary Text

To require the Labor Commissioner, in consultation with the Secretary of the State, Commissioner of Revenue Services and Commissioner of Administrative Services, to study the potential for members of a limited liability company or other business entity to circumvent certain labor laws by establishing a new business entity.

Current Bill Text

Read the full stored bill text 
Senate
sSB441 / File No. 475 1

General Assembly File No. 475
February Session, 2026 Substitute Senate Bill No. 441

Senate, April 7, 2026

The Committee on Labor and Public Employees reported
through SEN. KUSHNER of the 24th Dist., Chairperson of the
Committee on the part of the Senate, that the substitute bill
ought to pass.

AN ACT ESTABLISHING A TASK FORCE TO STUDY LABOR LAW
VIOLATIONS BY LIMITED LIABILITY COMPANIES AND OTHER
BUSINESS ENTITIES.
Be it enacted by the Senate and House of Representatives in General
Assembly convened:

Section 1. ( Effective from passage) (a) There is established a task force 1
to study the potential for members of a limited liability company or 2
other business entity to circumvent the provisions of chapter 557 or 558 3
of the general statutes by establishing other business entities. 4
(b) The task force shall consist of the following members: 5
(1) Two appointed by the speaker of the House of Representatives; 6
(2) Two appointed by the president pro tempore of the Senate; 7
(3) One appointed by the majority leader of the House of 8
Representatives; 9
(4) One appointed by the majority leader of the Senate; 10
sSB441 File No. 475

sSB441 / File No. 475 2

(5) One appointed by the minority leader of the House of 11
Representatives; 12
(6) One appointed by the minority leader of the Senate; 13
(7) The Labor Commissioner, or the commissioner's designee; 14
(8) The Secretary of the State, or the secretary's designee; 15
(9) The Commissioner of Revenue Services, or the commissioner's 16
designee; and 17
(10) The Commissioner of Administrative Services, or the 18
commissioner's designee. 19
(c) Any member of the task force appointed under subdivision (1), 20
(2), (3), (4), (5) or (6) of subsection (b) of this section may be a member 21
of the General Assembly. 22
(d) All initial appointments to the task force shall be made not later 23
than thirty days after the effective date of this section. Any vacancy shall 24
be filled by the appointing authority. 25
(e) The speaker of the House of Representatives and the president pro 26
tempore of the Senate shall select the chairpersons of the task force from 27
among the members of the task force. Such chairpersons shall schedule 28
the first meeting of the task force, which shall be held not later than sixty 29
days after the effective date of this section. 30
(f) The administrative staff of the joint standing committee of the 31
General Assembly having cognizance of matters relating to labor and 32
public employees shall serve as administrative staff of the task force. 33
(g) Not later than January 1, 2027, the task force shall submit a report 34
on its findings and recommendations to the joint standing committee of 35
the General Assembly having cognizance of matters relating to labor 36
and public employees, in accordance with the provisions of section 11 -37
4a of the general statutes. The task force shall terminate on the date that 38
it submits such report or January 1, 2027, whichever is later. 39
sSB441 File No. 475

sSB441 / File No. 475 3

This act shall take effect as follows and shall amend the following
sections:

Section 1 from passage New section

LAB Joint Favorable Subst.

sSB441 File No. 475

sSB441 / File No. 475 4

The following Fiscal Impact Statement and Bill Analysis are prepared for the benefit of the members of
the General Assembly, solely for purposes of information, summarization and explanation and do not
represent the intent of the General Assembly or either chamber thereof for any purpose. In general,
fiscal impacts are based upon a variety of informational sources, including the analyst’s professional
knowledge. Whenever applicable, agency data is consulted as part of the analysis, however final
products do not necessarily reflect an assessment from any specific department.

OFA Fiscal Note

State Impact: None
Municipal Impact: None
Explanation
The bill establishes a task force to study the potential for members of
a limited liability company or other business entity to circumvent the
provisions of chapter 557 or 558 of the general statutes by establishing
other business entities. This does not result in any fiscal impact to the
state or municipalities.
The Out Years
State Impact: None
Municipal Impact: None

sSB441 File No. 475

sSB441 / File No. 475 5

OLR Bill Analysis
sSB 441

AN ACT ESTABLISHING A TASK FORCE TO STUDY LABOR LAW
VIOLATIONS BY LIMITED LIABILITY COMPANIES AND OTHER
BUSINESS ENTITIES.

SUMMARY
The Office of Legislative Research does not analyze Special Acts.
COMMITTEE ACTION
Labor and Public Employees Committee
Joint Favorable Substitute
Yea 13 Nay 0 (03/19/2026)