Who should be considered an independent contractor vs. an employee? California AB-5 was signed into state law in early 2020 - and re-classified many independent contractors as employees subject to California employment regulations. The debate continued, however, and on November 3rd, 2020, Californians voted “yes” to an exemption to AB-5 - on the ballot as Proposition 22 - which determined that app-based ridesharing and delivery drivers are permitted to function as independent contractors. What about other independent contractors? What other industries should be subject to - or exempt from - CA-AB5? Questions continue.
Bruce Sarchet is a Shareholder at Littler Mendelson P.C.
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