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ARTICLE · 17 JUNE 2019

California Bill To Codify ABC Test Passes First Hurdle

Earlier this week, the California Assembly overwhelmingly passed AB5 – a measure that would codify the ABC test introduced to the state in last year's Dynamex decision,

United StatesEmployment and HR

Earlier this week, the California Assembly overwhelmingly passed AB5 – a measure that would codify the ABC test introduced to the state in last year's Dynamex decision, and make life even more challenging for the average gig economy business. The best hope now is that the legislature wi1`1ll take business considerations into account during necessary compromise negotiations with the state Senate, and the bill will be modified from its present form to address some key issues...and perhaps exempt typical gig economy companies.

My colleague Ben Ebbink wrote about AB5 back in December on day one of the current legislative session. As he put it then, "Assemblywoman Lorena Gonzalez Fletcher (D-San Diego) announced that she would be introducing legislation sponsored by the California Labor Federation to codify the Dynamex decision. She wasted little time in introducing Assembly Bill 5. The bill is a placeholder (or "spot") bill for now, but declares that it is intended to

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