2020 - California GIG Worker Protections: Regulating Relationships between Organizations and Their GIG Workers

OVERVIEW
This California labor law, which took effect on January 1, 2020, makes it more difficult for companies to treat workers as independent contractors. This law puts tough restrictions on who can be independent contractors or freelancers rather than employees. Supporters say it addresses inequities created by the growth of the gig economy, including the employment practices of ride-sharing companies like Uber and Lyft that use contractors. Company owners with independent contractors must now decide whether to hire them as employees or look for help in other states.
Although the law affects companies of all sizes and out-of-state businesses that use California contractors, it likely will have a greater impact on the many small businesses that hire independent contractors because of limited staffing budgets. The law is being challenged in state courts, and companies including Uber and Lyft are campaigning for a referendum on the 2020 election ballot on whether they should be exempt from the law. And employment law attorneys expect the state legislature to add to the list of professions the law already excludes.
In September 2019 Gov. Gavin Newson signed a sweeping new labor law extending wage and benefit protections to approximately one million workers. Newson argued that when workers are misclassified as independent contractors rather than as employees, they lose basic benefits such as minimum wage, paid sick days, and health insurance. The bill covers workers in a wide variety of industries, including health care, trucking, and media. Some industries, such as real estate, commercial fishing, and cosmetology services carved out exemptions from the law.
WHY SHOULD YOU ATTEND
A California law that makes it harder for companies to treat workers as independent contractors or freelances took effect on January 1, 2020. This law puts tough restrictions on who can be independent contractors or freelancers rather than employees. Supporters say it addresses inequities created by the growth of the GIG economy. Company owners with independent contractors must now decide whether to hire them as employees or look for help in other states. Although the law affects companies of all sizes and out-of-state businesses that use California contractors, it likely will have a greater impact on the many small businesses that have hired independent contractors because of limited staffing budgets.
AREAS COVERED
What is California Law AB5?
The “ABC” test to determine whether workers are properly classified as independent contractors
Consequences of failing to follow the AB5 and misclassification of workers
Employee vs. Independent Contractor status
California wage & hour laws – minimum wage
Workers with multiple employment classifications
WHO WILL BENEFIT?
Senior Leadership
Small Business Owners
Human Resources Professionals
Compensation Professionals
Operations Professionals
Recruiting Professionals
Compliance Professionals
Managers & Supervisors
GIG Workers
SPEAKER
Diane L. Dee, President of Advantage HR Consulting, has over 25 years of experience in the Human Resources arena. Diane’s background includes experience in HR consulting and administration in corporate, government, consulting and pro bono environments. Diane founded Advantage HR Consulting in early 2016. Under Diane’s leadership, Advantage HR provides comprehensive, cost-effective Human Resources solutions for small to mid-sized firms in the greater Chicagoland area.
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