Section 7. Stop-work orders.
(a) Issuance of order.--
(1) If the secretary determines, subsequent to the
issuance of an order to show cause under section 4(c), that
an employer, or officer or agent of the employer, has
intentionally failed to properly classify an individual as an
employee under section 4(a), the secretary may petition a
court of competent jurisdiction to issue a stop-work order
requiring the cessation of work by individuals who are
improperly classified within 24 hours of the effective date
of the order, or in the event that a majority of individuals
working at a site are improperly classified, requiring the
cessation of all business operations of that employer at each
site at which a violation occurred within 24 hours of the
effective date of the order.
(2) The order shall take effect when served upon the
employer, or for a particular employer worksite, when served
at the worksite. The order shall remain in effect until the
court issues an order releasing the stop-work order or upon
finding that the employer, or officer or agent of the
employer, is no longer in violation of this act.
(3) An order releasing a stop-work order may include a
requirement that the employer file with the department
periodic reports for a probationary period that shall not
exceed two years demonstrating the employer's continued
compliance with this act.
(b) Applicability of orders and penalties.--Stop-work orders under subsection (a) and penalties under subsection (c) shall be in effect against any successor corporation or business entity that has one or more of the same principals or officers as the employer against whom the stop-work order was issued or penalties imposed and which is engaged in the same or equivalent trade or activity.
(c) Penalty.--The court shall assess a penalty of $1,000 per day against an employer for each day that the employer conducts business operations that are in violation of a stop-work order issued under this section.