www.quotecatalog.com

Independent Contractor Classification Greatly Restricted

www.quotecatalog.comToday, the California Legislature passed AB 5, a landmark bill that will require companies to treat workers as employees and not independent contractors if the companies exert control over how the workers perform their tasks or if their work is part of the companies’ regular business. Governor Newsom is expected to sign the bill. The new law, which goes into effect January 1, 2020, codifies the California Supreme Court’s 2018 ruling in Dynamex Operations West, Inc. v. Superior Court of Los Angeles, and will have major ramifications for employers operating in the gig economy.