California's Struggle With Its "ABCs" Continues

In January of 2020, California enacted a new law that codifies a strict test for determining if workers are independent contractors or employees and thereby entitled to minimum wage, overtime, and various other benefits.  That standard, originally set forth in a 2018 California Supreme Court case called Dynamex, imposes a presumption that a worker is an employee unless all three prongs of the following test are met:

1. The person is free from the control and direction of the hiring entity in connection with the performance of the work, both under the contract for the performance of the work and in fact;
2. The person performs work that is outside the usual course of the hiring entity's business; and