Uber,Lyft and DoorDash have said they will spend $90 million to back aballot referendum in 2020 aimed at exempting them from the proposedlaw. (Photo: Shutterstock)
Gig workers in California will get a boost from AB5, a new billpassed by the California Senate and backed by Governor Gavin Newsomthat will make it tougher for companies to classify them asindependent contractors instead of as employees.
A Reuters report says that ride-hailing companies like Uber andLyft will feel the brunt of the legislation, which "would codify a2018 California Supreme Court decision, DynamexOperations West Inc v. Superior Court, that set out a new standardfor determining whether workers are properly classified asindependent contractors." The court decision found that state wagelaws cover workers as employees when the company controls theirwork or when they are integral to its business.
Continue Reading for Free
Register and gain access to:
- Breaking benefits news and analysis, on-site and via our newsletters and custom alerts
- Educational webcasts, white papers, and ebooks from industry thought leaders
- Critical converage of the property casualty insurance and financial advisory markets on our other ALM sites, PropertyCasualty360 and ThinkAdvisor
Already have an account? Sign In Now
© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
Marlene Satter
Marlene Y. Satter has worked in and written about the financial industry for decades.
