2020 opens with numerous legal challenges to California’s new employment laws taking effect on January 1, 2020. The new laws targeted by business groups are AB 5, which makes it more difficult for businesses to classify workers as independent contractors, and AB 51, which prohibits employers from requiring mandatory arbitration agreements with employees. If this
independent contractor
Costly mistakes for startup companies and how to avoid them
Understandably, entrepreneurs’ main concerns are shipping great products and making sure they can meet the next payroll. As your company grows, regardless of what industry you are in, tech, biotech, or a restaurant, it is critical that the founder devote some time and effort into ensuring employment law compliance. Investors will demand this during the…
California legislature places gig economy in crosshairs
The California legislature is setting its sights on limiting employers’ use of independent contractors in the gig economy. A California bill, AB 5, sets to codify the California Supreme Court’s 2018 ruling in Dynamex v. Superior Court. The bill passed the Assembly last week, and will need to be approved by both the Senate…
New decision reviewing independent contractor test after Dynamex
A new decision, Garcia v. Border Transportation Group, LLC, analyzes the California Supreme Court’s decision in Dynamex Operations West, Inc. v. Superior Court, which changed the test for independent contractors under California law. In Border Transportation, Plaintiff Jesus Cuitalhuac Garcia filed the case against Border Transportation Group, LLC and its owners for…
Five key issues California employers must know about Supreme Court’s ruling on independent contractors
The California Supreme Court issued a monumental ruling this week regarding the test used in determining whether a worker can be classified as an independent contractor. In the case, Dynamex Operations West, Inc. v. Superior Court, the plaintiff brought a class action complaint alleging five causes of action arising from Dynamex’s alleged misclassification of…
Top five free resources available for California employers
This Friday’s Five sets out five resources that are free for California employers that are published by the state of California. Employers need to understand that while these publications are made available by the state of California, the agencies publishing the resources are only expressing their opinion about the current status of the law, but…