Re: Independent contractors and freelancers are employees in California?
There's nothing specific about apps in AB5.
It was initiated as a response to app-based employment. The law *cannot* specifically target "apps." That would be unconstitutional. It can target how companies treat people who respond to app-based work assignments. It is also roping in people who benefit from the gig economy, like truckers who are often prey for unions.
It changes the California
Labor Code to treat workers as employees by default and puts the onus
on the employer to prove that independent contractors are not
employees.
Right. And they are doing this because Uber, Lyft, and Amazon have abused the status of "contractor." If everyone played fair, there wouldn't be a push for a law because the intended "beneficiaries" of the law would not be onboard with legislative babysitting.
It will affect virtually all California employers currently
classifying people as independent contractors but treating them as
employees by setting their work hours and so on.
Right. If it didn't apply to every employer, it would be a constitutional issue. Most employers will not be impacted by this law.
Employers that require employees to be on site and work specified hours cannot claim their employees are contractors but many employees tolerate that employment condition and call themselves contractors.
The state law will likely get implemented and then sued on constitutional grounds for violating the commerce clause and freedom to contract, among other things.
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