Texas Administrative Code
Title 16 - ECONOMIC REGULATION
Part 4 - TEXAS DEPARTMENT OF LICENSING AND REGULATION
Chapter 72 - PROFESSIONAL EMPLOYER ORGANIZATION
Section 72.70 - Responsibilities of Licensee - General
Universal Citation: 16 TX Admin Code ยง 72.70
Current through Reg. 49, No. 12; March 22, 2024
(a) Notices to Clients.
(1) A licensee must
notify its clients of the name, mailing address, and telephone number of the
department. The notice also must contain a statement that unresolved complaints
concerning a licensee or questions concerning the regulation of PEO's may be
addressed to the department.
(2)
The notice required by this subsection must be made a part of all agreements
between licensees and clients. The notification shall appear in a typeface no
smaller than the body of the contract and shall be printed in bold face, all
capital letters or contrasting color of ink to set it out from the surrounding
written material.
(b) Notices to Covered Employees.
(1) A licensee
must provide written notice of a professional employer services agreement to
each covered employee that sets forth the general nature of the coemployment
relationship, the name, mailing address, website www.tdlr.texas.gov, and
telephone number of the department, and a statement that unresolved complaints
concerning a licensee or questions concerning the regulation of PEO services
may be addressed to the department.
(2) A licensee must notify each covered
employee that, pursuant to §91.032(c) of the Code, a client company is
solely obligated to pay any wages for which:
(A) an obligation to pay is created by an
agreement, contract, plan, or policy between the client company and the covered
employee; and
(B) the PEO has not
contracted to pay.
(3) A
licensee shall have each covered employee either sign a document or
electronically acknowledge that the covered employee has received the notice
required by §72.70(b)(1) and other notices set forth in this subsection.
The signed document or electronic record must be kept on file for two years
after employment is terminated. The signed document or electronic record may be
included as part of the professional employer services agreement or other
agreement with the covered employee or may be a separate document.
(c) Notwithstanding subsection (b)(2), a PEO may process payments for wages that it has not contracted to pay at the request or direction of its clients.
(d) A licensee must update the information provided to the department as part of the original or renewal license application within 45 days after any change to the information.
Disclaimer: These regulations may not be the most recent version. Texas may have more current or accurate information. We make no warranties or guarantees about the accuracy, completeness, or adequacy of the information contained on this site or the information linked to on the state site. Please check official sources.
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