Posts tagged AB5
Rachel Greszler: 64 million Americans risk losing work under Biden administration rule
January 30, 2024 // The group Freelancers Against AB 5 compiled a list of more than 600 professions that have been negatively affected by independent contracting restrictions, and Americans for Tax Reform documents more than 600 personal testimonials of workers who’ve been harmed. Karen Anderson, the founder of Freelancers Against AB5, testified to federal lawmakers about children’s theaters and nonprofit youth sports clubs closing their doors; sign language interpreters unable to provide ADA-mandated services to the deaf; and professionals having to move out of state to maintain their livelihoods.
OOIDA lends support in case against AB5
January 30, 2024 // The two trucking groups argue that the law eliminates the independent contractor driver business model in the trucking industry and that it violates the U.S. and California constitutions. OOIDA, which is serving as an intervenor in a case against the state’s worker classification law, told the court in its Oct. 27 reply brief that AB5 needlessly causes genuine independent contractors to be reclassified as employees. “AB5 discriminates against and imposes undue burdens on interstate commerce in violation of the dormant Commerce Clause, and the disparate treatment of AB5’s business-to-business and construction exemptions violates the U.S. and California constitutions’ equal protection clauses,” OOIDA wrote
New Research Quantifies Harms To Independent Contractors Of California’s AB5
January 23, 2024 // Despite AB5 proponents’ claims that the law would increase full-time employment and offer benefits and protections, the researchers found “robust evidence that AB5 is significantly associated with a decline in self-employment and a decline in overall employment.” · AB5 reduced the level of self-employment by 6.7 percentage points to 28%. · AB5 reduced the level of overall employment by 7.3 percentage points to 14%. · The researchers did not find significant evidence that AB5 increased W-2 employment.
Commentary: Kevin Kiley: American Dream in danger
January 22, 2024 // AB 5 offers a warning to the nation. It is one reason California has ranked first or second in the country when it comes to unemployment and poverty, and last in the country in wage growth. Congress must reject the nationalization of AB 5 and protect the diverse range of work arrangements that contribute to the American economy. We must oppose the ongoing attacks on worker freedom and ensure that worker preferences and autonomy are accounted for in all policy decisions. More than ever, we must support the right of enterprising Americans to pursue their calling as they see fit. To that end, I am introducing legislation to nullify Biden’s Independent Contractor rule, and urge all Members of Congress to support it.
Opinion: Biden adds to his ‘Bidenomics’ flop: This new rule throws wrench in popular gig economy.
January 22, 2024 // Biden promised to be the “most pro-union president you’ve ever seen,” so he needs to reward all those campaign donations. And Biden’s doing it regardless of the impact on the economy. Independent contractors cannot be unionized, so the more companies lean on these workers, the less ability unions have to organize. It’s really that simple. The Biden administration is trying to sell its new rule as a way to protect workers and make it easier for them to qualify for benefits such as overtime pay and paid time off.
California’s Attack on Gig Work Predictably Drove Workers Out of Jobs
January 19, 2024 // Last week, the DOL announced a new set of rules for determining whether a worker is an employee or an independent contractor. Like with California's A.B. 5, those proposed federal rules are meant to crack down on what the government sees as a deliberate effort to misclassify workers as contractors—which can change, among other things, the benefits that an employer is obligated to pay. Most gig workers and independent contractors are content with their more flexible, less structured employment arrangements—so in some sense, these governmental efforts seem to be trying to save workers from their own choices.
Opinion: Biden’s Labor Nominee ‘Embodies the Spirit of California,’ and That’s the Problem
January 18, 2024 // If approved, Su won’t be the only half-baked Californian in the Biden White House. Vice President Kamala Harris is (per National Review’s Charlie Cooke) “talented enough to make the inanities uttered by her rival Pete Buttigieg sound substantive, concise, and apprehensible.” Economist David Bahnsen calls California’s Janet Yellen “a career bureaucrat, albeit a hyper-intelligent one, who has spent an adult life devoid of accountability for poor decisions and even poorer ideas.” California’s Xavier Becerra knew nothing about health or human services until Biden made him head of Health and Human Services; during Covid, he did nothing, which, given his résumé, might have been for the best. Becerra’s fathomless ignorance is almost a prerequisite for this administration, where experience might mean owning your failures. The first White House gig of Californian Alejandro Mayorkas, now secretary of homeland security, as Obama’s director of U.S. Citizenship and Immigration Services involved running interference for a scandal-plagued electric-car company run by Secretary of State Hillary Clinton’s brother Tony Rodham and Terry McAuliffe, cochairman of President Bill Clinton’s 1996 reelection campaign, chairman of the Democratic National Committee from 2001 to 2005, and chairman of Hillary Clinton’s 2008 presidential campaign. I needn’t go on — or should I mention that Biden’s deputy secretary of education is a former San Diego teachers’-union official whose concern for union power exceeds any attachment to student performance? While she was Governor Gavin Newsom’s secretary of labor, Su oversaw the implementation of bad policy and the mismanagement of simple procedures. Any one of her major catastrophes would have been career-enders elsewhere; in California, where the failure of progressive policy is invariably a prompt for more progressive policy, she was instead excused — and then promoted into the Biden
New Study on California AB5 and Implications for the Department of Labor’s Independent Contractor Rule
January 18, 2024 // 1. First, employers may have hired some, but not most, independent contractors as employees, while other employers may have stopped working with their contractors based in California altogether. 2. Second, some employers may have extended employment opportunities to independent contractors who then declined such offers. Workers with a strong preference for flexible hours or for working with multiple clients, for instance, may not have wanted to work as traditional employees with one company. 3. Third, some small business owners may have been forced to shut down if they relied heavily on independent contractors and could not afford to hire them as employees or stopped working with independent contractors because of fear of compliance. This was highlighted by interviews of small business owners in the wake of AB5.
GOP Reps: Biden’s New Rule Rips Freedom Away from Workers, Small Businesses | Opinion
January 17, 2024 // Biden's rule on independent contractors circumvents Congress, the people's representation, to enact a disastrous policy similar to that in California's Assembly Bill 5 (AB5) and the Protecting the Right to Organize (PRO) Act. AB5, enacted in January 2020, led to countless Californians who were working as freelance employees losing their income mere weeks before the COVID pandemic. The radical PRO Act would take away independent contractors' ability to work how they see fit. Taking these failed far-Left policies nationwide would devastate millions of American businesses by depriving individuals of entrepreneurial opportunities, the ability to set their own hours, and the flexibility to care for their families the way it suits them.
Op-ed: KAREN ANDERSON: Joe Biden And Gavin Newsom Go To War With Freelancers For Their Big Labor Buddies
January 15, 2024 // or those who file Schedule C on their federal tax returns, deducting expenses is crucial, especially if expensive equipment is required in a particular field such as independent filmmaking. Prior to AB5, film producer Dan Cheatham could write off his office costs, vehicle usage, fuel, software, hardware, equipment, healthcare, and self-advertising. “AB5 is poison for the self-employed in California unless we are willing to just volunteer our services and turn this into art for art’s sake,” he said. Finally, the opportunity to hone one’s craft is inherent in the freedom to freelance. Whether it’s a videographer working with different clients in different settings, a writer growing their skill sets to include photography and web design, or a wedding vendor expanding her offerings, the chance to try on different hats is one of many essential attributes of being self-employed.