The California legislature is considering a bill that would codify in the Labor Code and Unemployment Insurance Code the California Supreme Court’s decision in Dynamex – which adopted a standard that made it significantly more difficult for employers to classify workers as independent contractors, ignoring the realities of the modern workplace and gig economy. Assembly … Continue reading California Legislature Embraces the Dynamex Standard for Evaluating Independent Contractor Arrangements
Historically, California has applied a multi-factor test for evaluating whether a worker is an employee or independent contractor. These factors – all of which must be considered with no single controlling factor – were developed almost 30 years ago by the California Supreme Court in S.G. Borello & Sons v. Department of Indus. Relations (Borello). … Continue reading Bucking the Gig Economy, the California Supreme Court Places Steep Hurdle on Classifying Workers as Independent Contractors
As expected, there have been a number of legal challenges to California Assembly Bills 5 and 51, both of which were signed into law by California Governor Gavin Newsom and set to go into effect on January 1 of this year.
Last month, California Governor Gavin Newsom signed Assembly Bill 5 into law. This lengthy bill generally codifies and expands the applicability of the three-part ABC test from the Dynamex decision in determining whether a worker is an employee or independent contractor for purposes of California Labor Code, Unemployment Insurance Code, and the Wage Orders.
By Andrew J. Sommer and Megan S. Shaked Following the 2018 legislative session, which was dominated by laws responding to the #MeToo movement, 2019 has produced a long list of new employment laws on a myriad of topics. From a new test for determining independent contractor status to a ban on no rehire agreements and revamped … Continue reading 2020 Legislative Update for California Employers