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Professional Employer Organizations Penalties and Sanctions

 

Professional Employer Organizations (PEO)

Texas Labor Code, Chapter 91

16 Texas Administration Code, Chapter 72

Class A:

1st Violation, Reprimand to $5,000

2nd Violation, $2,500 to $5,000 and/or up to 6-month probated suspension

3rd Violation, $5,000 per day not corrected plus 6 month probated suspension to 1-year full suspension.

Class B:

1st Violation, $2,500 to $5,000 and/or up to 6-month probated suspension

2nd Violation, $5,000 plus 1-year probated suspension to 1-year full suspension

3rd Violation, $5,000 per day not corrected plus 1-year full suspension to revocation

Class C:

1st Violation, $3,000 to $5,000 and/or 1-year probated suspension up to revocation

2nd Violation, $5,000 per violation plus 1-year full suspension up to revocation

3rd Violation, $5,000 per day not corrected plus revocation

Class D:

1st Violation, Revocation

2nd Violation, Revocation

3rd Violation, Revocation