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    Research ● Labor PRO Act

    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.

    AB5 ABC test California California Supreme Court Congress Congressional Review Act Democrat legislators Department of Labor Dynamex Employment Freelancers Against AB5 Independent Contractor Rule independent contractors labor force participation Littler Mendelson Liya Palagashvili Lorena Gonzalez Mercatus Center PRO Act self-employment W-2 employment