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HRS §373L-4

Who is not required to follow this law

This section lists three situations where a business is not treated as a professional employer organization and does not have to follow this chapter's rules. These situations are sharing employees with a commonly-owned company, independent contractor arrangements, and providing temporary help services.

businessesemployers

The statute, as written — Exemptions

A person who engages only in the following activities shall not be deemed a professional employer organization for purposes of this chapter and shall be exempt from the requirements of this chapter: (1) Arrangements wherein a person, whose principal business activity is not entering into professional employer arrangements and who does not hold the person's self out as a professional employer organization, shares employees with a commonly-owned company within the meaning of [section] 414(b) and (c) of the Internal Revenue Code; (2) Independent contractor arrangements by which a person assumes responsibility for the product produced or service performed by the person or the person's agents and retains and exercises primary direction and control over the work performed by the individuals whose services are supplied under those arrangements; or (3) The providing of temporary help services.
Read the official text at capitol.hawaii.gov ↗as published Jan 6, 2026our copy taken Aug 20, 2026

LawTrove is not legal advice. The summary above is a computer-generated restatement — the authoritative text is the official version linked above.