Women Workers and Employers Lose Under CA Legislation

By | Business, class action lawsuit, Discrimination, Employment, Independent Contractor, settlement

Forbes details how women strongly oppose California AB5 and similar laws under consideration in New York and New Jersey.

For example, the American Society of Journalists and Authors filed a lawsuit challenging AB5 on grounds it is unconstitutional and discriminatory, and effectively argues the law is particularly harmful to women, people of color and the LGBTQ+ community.

NJ Legislation Combats Employers Who Misclassify

By | Business, class action lawsuit, Employment, Human Resources, Independent Contractor, Misclassification

Governor Phil Murphy signed a legislative package combatting worker misclassification and exploitation. The bills will crack down on employee misclassification in businesses by allowing stop-work orders against employers violating state wage, benefit, and tax law; providing assessment of penalties for violations in connection with misclassification of employees; and requiring employers to post a notice for their employees regarding employee misclassification, among others. Read about this sweeping legislation and mitigate your risks.

Nannies are Employees Not Independent Contractors

By | Advice, Employment, Independent Contractor, Misclassification

Amidst CA AB5 chaos and springing lawsuits, could your nanny sue? Yes, your nanny is a W-2 employee. Household workers include nannies, in-home senior caregivers, housekeepers, chefs, chauffeurs, estate managers, and others. Taxes are due from their employment.  Click here for AB5 Demystified, the new standard for classifying independent contractors and employees reaches across all companies and populations, not just the gig giants.

Not Just CA Contractor Issues

By | Advice, class action lawsuit, Employment, Freelancer, Independent Contractor, Misclassification

Contractor issues across the US prompted the IRS Three-Factor Test: behavioral control, financial control, and relationship control. Carrie Hoffman of Foley & Lardner LLP shares insight: Regardless of the test used (DOL or IRS), the key is to look at the entire relationship and make a decision supported by the facts of the relationship versus the desires of the parties involved. Read more here.

Rethink Staffing – Are You Compliant?

By | Employment, Human Resources, Independent Contractor, Misclassification

Joyce Rosenberg, Associated Press, reports in the Chicago Daily Law Bulletin: A California law that makes it harder for companies to treat workers as independent contractors takes effect next week, forcing small businesses in and outside the state to rethink their staffing.

The 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 that use contractors.

Company owners with independent contractors must now decide whether to hire them as employees or look for help in other states. An alternative: asking these workers to start their own businesses.

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. Read the whole article here.

2020 New Employment Law in CA Sets Trends

By | Business, Employment

The National Law Review reports: As a notorious trend-setter in the employment law realm, California ranks among the toughest in the nation when it comes to regulations imposed on employers that conduct business within the state. Accordingly, compliance with the plethora of employment laws in California has become more and more challenging every year and it looks like things will be no different in the new year with the passage of Assembly Bill 5 (AB 5).

Read more here.