To amend title 10, United States Code, to ensure proper classification as employees and independent contractors of persons awarded Federal procurement contracts.

Prohibits a person from being eligible for any defense contract for a two-year period after a final determination that such person willfully misclassified an employee of such person as an independent contractor for purposes of any employment tax. Requires any person submitting a bid or proposal for a defense contract to certify that the bid or proposal is adequate to pay all required employment taxes. Requires each defense contractor to notify each person being treated as an independent contractor of all employment tax obligations and all statutory rights and protections available to employees that are not available to the independent contractor. Provides a right of action against persons willfully submitting false certifications under this Act.