The concept of working as an independent contractor has been around for centuries. In recent years, new technology has given millions of Americans the opportunity to earn money, work flexible hours and be their own boss through independent contracting. Military spouses, transitioning service members, stay at home parents, and people just looking to earn a few extra dollars have all benefited from this type of work—not to mention the millions of consumers who are able to purchase all manner of services right from their phone.
The Progressive Policy Institute recently released a report on regulatory reforms for independent workers.
The state of California demonstrates its reluctance to foster a good business environment on a regular basis and with seeming alacrity, and one bugaboo du jour among the Golden State’s policymakers is the area of alleged
In 2019, the California legislature passed A.B. 5, a bill that dramatically curtails the use of independent contractors in the state. A.B. 5 establishes a three-factor “ABC” test to determine whether someone is an employee, or an independent contractor. Predictably, the law has upended many successful business models and cost some workers their jobs.
California’s AB 5 has taken another life: The new law has now killed off the 40-year old Lake Tahoe Music Festival.
This legislative session, the Virginia State Legislature has taken up numerous pieces of legislation dealing with worker classification, in other words, when a worker should be considered an employee or an independent contractor.
California's AB5 law relies on three questions, originally written in the 1930s, to determine the legality of an independent contractor. Those questions are the basis for proposed legislation that could have a profound effect on the gig economy. A.)The person is free from the control and direction of the hiring entity in connection with the performance of the work, both under the contract for the performance of the work and in fact; and B.) The person performs work that is outside the usual course of the hiring entity’s business; and C.) The person is customarily engaged in an independently established trade, occupation, or business of the same nature as that involved in the work performed.
As seen on Forbes.com. California's AB-5 has made it more difficult for women like Aimee Benavides to maintain her flexible work schedule and meet the needs of her family.
A New Jersey bill aimed at cracking down on misclassifying independent contractors could instead be "career and culture killing."
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Letter Supporting West Virginia SB 528
The U.S. Chamber of Commerce supports Senate Bill 528, the “Uniform Worker Classification Act.”