Posts tagged AB5
With trucking at a crossroads, ATA’s Spear reminds industry what’s at stake
October 21, 2024 // The leader of trucking’s largest trade group says the industry won’t ‘roll over’ to ‘union thuggery’ and unrealistic politicians’ attempts to tear down the industry that drives the U.S. economy.
The Highest Stakes Commentary: Kim Kavin
October 16, 2024 // In this version of the ABC Test, Part B states that a person can only be a legally operating independent contractor if: The person performs work that is outside the usual course of the hiring entity’s business. That line has been an unmitigated income- and career-destroyer for Californians in more than 600 professions. It hit everyone from comedians who could no longer perform at comedy clubs to translators who could no longer provide translation services for translation companies to freelance writers who could no longer write articles for publishers. Owner-operator truckers are still battling in the courts and trying to explain how it could decimate the supply chain, with the threat of taking so many self-employed truckers off the road. The damage to people’s livelihoods was so significant that within a year—just one year—of AB5 going into effect:
Feeding the Kitty
September 30, 2024 // Unions have pursued shareholder resolutions asking for a “free and fair election process,” meaning card check and neutrality. They have also sought to pass resolutions demanding audits of a company’s labor practices. It’s not hard to see how a future resolution could explicitly try to prohibit companies from using independent contractors.
Harris Pushes Gig Workers, Contractors into Corporate Jobs with New Rule
September 25, 2024 // America already has too few people working. If the employment rate were the same as it was before the COVID-19 pandemic, 2.9 million more people would be working today. The last thing Americans need is another regulation that makes it harder to make a living and to afford the rising cost of living. Although the Biden-Harris regulation has only been in effect since March, and it’s too early to fully study its effects, the employment-to-population ratio dropped by 0.3 percentage points between March and July. This decline represents a loss of 700,000 workers.
Op-Ed: Painting the Targets
September 24, 2024 // I next went looking for data about union density—the percentage of employees in an industry who are union members—in New York and California. For New York City, Hofstra University’s Center for the Study of Labor and Democracy put together this report showing industries that have seen declines in union membership. About half of the industries line up with those listed on the independent-contractor complaint form:
Report Rips Biden–Harris Labor Secretary Julie Su
September 23, 2024 // One individual used the name “Mr. Poopy Pants” on his official application and “received an approved claim.” Rapper Nuke Bizzle filed “92 fraudulent applications” and posted a video about the ease of ripping off California’s Employment Development Department (EDD) that gets a lot of attention in the “Widespread Fraud” report. “EDD, under leadership of Labor and Workforce Development Agency (LWDA) secretary Julie Su, made the decision early in the pandemic to ‘pay and chase’ after she was informed that keeping integrity checks in place would lead to a backlog in processing claims largely due to EDDs outdated IT,” the report says
Interview: Independent Contractors and Union Reforms, How @VinnieVernuccio Champions Worker Choice
September 12, 2024 // Unions are stuck in this turn of the last century industrial revolution, a one-size-fits-all adversarial business model that most workers today don't want. I do see a place for unions if they embrace a voluntary business model and become like professional service organizations. Unfortunately, they're not there. If you're under a union contract, you're stuck with the wages, the benefits, the vacations, [and] the hours they negotiate for you. It's actually impossible for the employer to unilaterally say, “you're doing a great job, I'm going to give you a raise,” or “I'm going to give you a bonus,” or, “hey, you want more vacation for a little less money?”
End of an era: California Trucking Association dropping appeal against AB5
August 23, 2024 // The high-water mark of CTA’s fight came on New Year’s Eve 2019 when Judge Roger Benitez of the U.S. District Court for the Southern District of California handed down an injunction blocking AB5’s enforcement against trucking in the state. But from that point, the CTA suffered a series of losses. An appellate court in a 2-1 decision overturned the injunction in April 2021. The CTA took the appeal to the Supreme Court, which denied review in June 2022 and kicked the case back to the District Court.
Commentary: California’s Unions Lost Their Long Battle Against Uber and Lyft
August 13, 2024 // The state Supreme Court unanimously ruled that ridesharing drivers can be exempted from California's crackdown on independent contracting.
Opinion: Congress Doesn’t Care About Freelancers — and It May Cost Them at the Polls
August 11, 2024 // Supporters of reclassification do not understand how essential independent contracting is to our livelihoods. This was evident in 2020 in the fight against California’s AB5—a law implementing a restrictive ABC test that reclassified many independent contractors as employees and inspired the DOL’s new rule. One elected state official claimed the independent status being stripped from us was just “taking away our lollipops.” Instead, AB5 hollowed out self-employment, pushed up unemployment, and destroyed many livelihoods in the process. While California is not in play in this election, Virginia is. Independent professionals are aware of what they will lose if similar policies are nationalized.