Can a business require the amount an Independent Contractor pays their employees?

Question

Can a business require the amount an Independent Contractor pays their employees?

Answer

I do not know of any law that requires Business X to disclose its rates of pay to Business Y. There are certainly situations where X will voluntarily disclose its pay practices to Y, e.g., where a contracting law or policy requires payment of not less than "prevailing wage." This is a long way from requiring the disclosure, however ........ it is, in a sense, voluntary ...... "If you want to be considered as our contractor, you'll need to give us your pay rate information."

Answer

I can think of a few limited scenarios where this can happen, but that is the exception rather than the rule. For example, a general contractor building a school must comply with "prevailing wage" jobs and must make sure that all subcontractors are paying whatever is required of them to their employees. But the general rule is that the independent contractor doesn't have to require compensation unless required by the contract.

Answer

A business is free to require that as a condition of contracting with them, but there is no law requiring it.