California new Gig-Work Law Temporarily Exempt for Truck Drivers
What began with a bill that alarmed many, was enacted into law on January 1, 2020. The California AB5 law has caused calamity due to the applicability implications that it would have in the different labor-areas of the state. There are some exceptions from the beginning, which include the medical sector, lawyers, psychologists, stockbrokers. However, sectors such as truck drivers could be highly affected by this new law. This is why Federal Judge Roger Benítez issued an order to exempt truckers from the AB5 worker’s law.
What is this law about?
The assemblywoman who had this bill is Lorena González, who affirms that it seeks the well-being of “independent” workers. González insists that many companies take advantage of the independent status of some people to not comply with the requirements of the law. Many companies resort to hiring independent staff to avoid covering health insurance, minimum wage, and other legal requirements when having employees on payroll. This is one of the major concerns of the assemblywoman, who, in her attempt to fill these gaps, introduced this initiative of the workers’ law, which will enter into force as law on January 1, 2020.
Well then, this law requires companies to include in their list of employees any worker who is asked to work.
On the other hand, many of the independent workers do not agree with this law, although its purpose is to watch over them. One of the main reasons is that they will not be able to continue establishing their own criteria at the time of a contract, no matter how brief. This implies rates, hours, mode of employment, hierarchies, and so on.
The responsibility for this California workers law rests explicitly with the companies. They are the ones that must even prove whether a worker can really be qualified as independent. For this the worker must 1) the contractor is free from the direction of someone else to carry out her work. 2) The work that the employee is going to develop is outside the work carried out in the company that hires. 3) the contractor is already engaged in an independently established business.
Why are truckers being exempted from the California AB5 worker’s law?
Truckers are highly affected by this workers’ California law (AB5) since it is one of the unions with the largest number of independent workers. In turn, it is these drivers who have traditionally established their own collection fees before contracts. At the same time, they flexibly organize their schedules and work dynamics. All of which they would lose if they became employees of any company.
Most of these truckers have invested large sums of money in their truck platforms and in the organization of the same.
For this reason, numerous truckers have filed a lawsuit requiring that this California workers law not apply to the group of truckers. This lawsuit is hidden in the federal law of 1994 which states that states are prohibited from making laws that affect the price, the route, or the freight transportation service. It has served for truckers to receive an exemption, at least temporarily, from the applicability of California’s AB5 law.
What Should Independent Truckers and Drivers Do?
The first thing that is suggested is to receive the necessary legal advice to know all the implications of this new law. The same that also threatens to spread to other states that may seek to emulate it. In addition, it should be noted that any hiring that passes through California, even for a brief link, must comply with this rigorous law. In this way, you can manage risks in the event of any eventuality that this workers’ law may bring with it. It is important to evaluate the terms in which it contracts with the companies that require cargo or trucking services.
Similarly, it should be foreseen that this exemption may not be indefinite, but on the contrary, the moment comes when it touches the truckers’ union.
Count on Aseguranza de Auto for information and advice regarding California AB5 Law
Our job is to guarantee the safety of our clients, we strive at all times so that the best guarantees cover their peace of mind. They are years of experience that help us face any unforeseen event that comes our way. The AB5 workers law is no exception, we can help you stay informed about everything it involves. In the same way, our advisors will be able to shield you according to your particular case as a truck driver. Visit our website where you can initiate communication via email, chat and / or video call. It will be attended in a few minutes.